Has anyone lost any money on FS?

The worst cases I can think of are the Lubin Paintings loans (#2002084876 and #654474218).

Yes. Just search the FS forum for "Defaulted Loans"

Also, all of the default history is available on the FS website, "All Active and Past Loans" page. Just search for "Defaulted"

The capital loss on the paintings plus the loss of interest was greater than my first year's profits. Quite shocking that a 40% LTV could be so badly valued, they were made up of multiple paintings, and most remain unsold. IMO, the valuer should be named and shamed, after all, what professional person would not honour their valuation by offering to purchase at 40% of it's value.

The HMRC briefing document www.gov.uk/government/publications/bad-debt-relief-for-peer-to-peer-investments/bad-debt-relief-for-peer-to-peer-investments specifically says that
'In the case of bad debts arising on eligible P2P loans between 6 April 2015 and 5 April 2016, investors in P2P loans will be able to make a claim to set those losses against interest received in the same tax year from any other eligible P2P loans.'

So losses in 15/16 tax year are deductible in the same tax year against income from any P2P platform. (no definition of what is a P2P platform seems available.)

Thanks. I can see there's only 5 loans there, that's less than I thought. With the "Recovered" loans, did FS paid back the capital + full interest or just the capital?

cpaken:  I can't be sure, but IIRC there was a motorcycle that sold for enough to return all the capital but no interest. 

If you look at the individual loan pages for the recovered loans there should be notes/updates that show what the final outcome was.

572782847- 2 Diamond Rings returned 76.7% of capital and no interest. I seem to remember a max bid of £100, so nobody lost more than £23.30. Of course yours truly had the max bid.