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Post by dodgeydave on Feb 24, 2016 10:08:39 GMT
I think Shanes Mum should let he dabble with a small amount , Maybe the 100 pounds.
Good age to learn about money.
And maybe with supervision after a period of time let him increase this amount.
My advice avoid women and beer both have left me poor
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oldgrumpy
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Post by oldgrumpy on Feb 24, 2016 10:13:26 GMT
Don't under any circumstances let him repay UNI "tuition fee" debts or other government student loans up front. That can be done as and when due.
Other student "debts" will be a different matter.
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cooling_dude
Bye Bye's for the PPI
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Post by cooling_dude on Feb 24, 2016 10:16:35 GMT
Don't under any circumstances let him repay UNI "tuition fee" debts or other government student loans up front. That can be done as and when due. Other student "debts" are a different matter. This is a really good point. Tuition fees are interest-free...... no point in sending it before it has earned you some pennies 
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freddy
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Post by freddy on Feb 24, 2016 10:17:29 GMT
Hello Everyone I am Shanes Mum, and I am so pleased to see that everyone here is helping him out. I have to point out immediately that Shane is not 16, he is in fact only 13; he found savingstream when I asked him to look into investing his money; but I was thinking more about bonds and saving accounts. When he asked for £100 to try investing, I gave my account details believing he was looking at putting it into a savings account but it actually has gone to savingstream. So now I personally have many (many, many) question’s. First I need some reassurance that this is not a scam. For example I’ve browsed these forums to see mention of Lendy Ltd & Saving Stream; is this to be of concern? Secondly, my son started the account under my name, but is (and will be) in control of all the money; is this legal, and what are the risks? I accept that the 3% Santander a/c mentioned above does look appalling, but not as appalling as 12%, and at the end of the day I want what is best for my son. Shane does indeed have a lump sum coming from my mother (his grandmother) and it looks like it might be a considerable sum. I just don’t want him to risk this money. However if he gets a 12% return, that would be wonderful! Hi Shane's Mum. Absolutely not a scam. Interest on money invested is credited every month and many members on this forum will confirm that Capitol is returned as soon as Loans are settled. As with any investments, there are of course risks. Yes 12% is attractive but given the circumstances I would opt for investments that provide a higher degree of Security for the bulk of your Sons money. Maybe just take a small % and together enjoy dabbling with P2P oh, and send him to bed without any supper for fibbing to us! Good luck.
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webwiz
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Post by webwiz on Feb 24, 2016 10:38:25 GMT
I think the government should give every 13 year old £100 to invest. A drop in the ocean from the education budget. They should be free to invest this any way they want and have periodic reports to their school on their performance. I cannot think of a better way of spending £100 on educating our youngsters in the real world.
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adrianc
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Post by adrianc on Feb 24, 2016 10:51:29 GMT
For example I’ve browsed these forums to see mention of Lendy Ltd & Saving Stream; is this to be of concern? Lendy Ltd is the company behind Saving Stream, the brand, just as Unilever PLC is the company behind Persil, the brand. Lendy offer other branded investment products to other markets, and market to borrowers under the name of Lendy Finance. www.lendyfinance.com/Bear in mind that, as far as HMRC is concerned, the income on money in an account in your name is YOUR income, and if you were to die, it would be treated as part of your estate. I don't know if SS - or other P2P platforms - offer accounts wrapped in trusts or trustee names - I suspect not, because there is a requirement for an investor to have a certain degree of sophistication (in the financial sense of the term) and to accept a certain level of risk.
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nush
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Post by nush on Feb 24, 2016 11:01:00 GMT
santander 20000@3% tsb £2000@5% other accounts are available, these are accounts that are guaranteed safe, i would use these up first then look at things like p2p, you have instant access to those funds, as/when you use cash from those accounts start to move cash back from less secure accounts. its a more cautious approach but if p2p does hit the rocks your son is sat with over £20000 in the bank while he recovers his p2p money.
also spread your invested cash over a few sites not just SS and also not just p2p, i should probably suggest using an IFA but to be honest most charge so much and researching your own investments is so easy now i think they are a rip off (just my opinion).
you can probably tell from my post that i am a fairly cautious investor. i am in no way a financial advisor but maybe a small amount in premium bonds might be something to look at also as they are safe and you never know your luck.
hope your son does well with his investing with your guidance.
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Investboy
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Trying to recover from P2P revolution
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Post by Investboy on Feb 24, 2016 11:01:15 GMT
Shane & Mum
First rule : don't ever invest money you can't afford to loose
Before investing you should have a) some cash at home for month expenses b) 3-6 months worth of expenses in easy access account c) further 6 months in notice accounts, savings or cash alternatives (bills/bonds). Everything after that you can invest
And this applies for the child and for adults all the same.
All businesses are legitimate until they don't, there is always a small chance something may go wrong, even with FTSE 100 company worth billions, it can be worth 0 next day.
So diversify your eggs in few baskets and watch those baskets like a hawk (or a hen)
Or shooting from the limb, why invest in property secured loans when you have a property and can rent it and have income from that?
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adrianc
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Post by adrianc on Feb 24, 2016 11:04:32 GMT
Or shooting from the limb, why invest in property secured loans when you have a property and can rent it and have income from that? Probably not the easiest solution, given that the property is going to be shared between four beneficiaries of the will.
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Post by dodgeydave on Feb 24, 2016 11:11:02 GMT
I think you all going to fast.
The lad is only investing 100 pounds.
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locutus
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Post by locutus on Feb 24, 2016 11:16:52 GMT
P2P is for sophisticated investors. Have a dabble by all means but don't risk any serious capital until you're a lot more comfortable.
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mickj
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Post by mickj on Feb 24, 2016 11:43:27 GMT
Don't under any circumstances let him repay UNI "tuition fee" debts or other government student loans up front. That can be done as and when due. Other student "debts" are a different matter. This is a really good point. Tuition fees are interest-free...... no point in sending it before it has earned you some pennies Good advice from Grumps, Student loans (tuition & maintenance) in England attract something like 3%+rpi, approx 3.9% just now depending on income when starting to repay or something, here is the SLC page. The Martin Lewis web site is good on this, it's a complicated subject, early doors yet.
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mikes1531
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Post by mikes1531 on Feb 24, 2016 14:48:42 GMT
Or shooting from the limb, why invest in property secured loans when you have a property and can rent it and have income from that? Probably not the easiest solution, given that the property is going to be shared between four beneficiaries of the will. Not to mention that it would provide no diversification at all.
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ilmoro
Member of DD Central
'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
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Post by ilmoro on Feb 24, 2016 21:13:05 GMT
Hello Everyone I am Shanes Mum, and I am so pleased to see that everyone here is helping him out. I have to point out immediately that Shane is not 16, he is in fact only 13; he found savingstream when I asked him to look into investing his money; but I was thinking more about bonds and saving accounts. When he asked for £100 to try investing, I gave my account details believing he was looking at putting it into a savings account but it actually has gone to savingstream. So now I personally have many (many, many) question’s. First I need some reassurance that this is not a scam. For example I’ve browsed these forums to see mention of Lendy Ltd & Saving Stream; is this to be of concern? Secondly, my son started the account under my name, but is (and will be) in control of all the money; is this legal, and what are the risks? I accept that the 3% Santander a/c mentioned above does look appalling, but not as appalling as 12%, and at the end of the day I want what is best for my son. Shane does indeed have a lump sum coming from my late mother (his grandmother) and it looks like it might be a considerable sum. I just don’t want him to risk this money. However if he gets a 12% return, that would be wonderful! Hi Shanes Mum I case you dont want to take our word for the legitimacy of SavingStream & Lendy, after all who'd believe a man maskerading as the former governor of California, a gorilla and bloke with a pig on his head, plus assorted others,  you may wish to look at the following Lendy & SavingStream are regulated by the Financial Conduct Authority, the UK financial regulator, so you can google the FCA and check its register of regulated businesses or follow this link register.fca.org.uk/The results will show that Lendy/Savingstream is authorised to lend money & act as a Peer to Peer lender You can also search for Lendy at Companies House who keep records of all UK companies, again google or follow this link beta.companieshouse.gov.uk/Google will also bring up numerous articles both online & in mainstream media which refer to Saavingstream and Peer to Peer lending in general One point that is worth reiterating is that Savingstream and other Peer to Peer sites are not covered by the Financial Services Compenstion Scheme (FSCS) so if the company went bust the government would not repay lenders any losses as they have done with bank failures. Regulation is being strengthened currently in preparation for P2P investments being allowed to be held in ISAs from April Should also say congratulations to Shane for managing to fairly quickly grasp the basics of Savingstream
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registerme
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Post by registerme on Feb 24, 2016 21:44:57 GMT
This has put a smile on my face  . Props to Shane, "hi" to Shane's mum, and pretty much what ilmoro said. Though what it says about Saving Stream's KYC procedures is anybody's guess  . EDIT: Although thinking about it, as long as Shane didn't pretend to be anybody other than Shane when he set the account up, why wouldn't a child be able to set up an account on a P2P platform? |
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. Props to Shane, "hi" to Shane's mum, and pretty much what ilmoro said.
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