littleoldlady
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Post by littleoldlady on Apr 25, 2016 7:52:04 GMT
savingstream I assume that you are preparing your IT systems to handle ISAs. Can you please include a "bed & breakfast" facility so that we can transfer existing holdings into our ISA? I realise that there is no direct incentive for you to so but you have always been receptive to suggestions in the past so I hope you will look favourably on this. It is not feasible to DIY on the SM because it is monitored by  24/7.
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pom
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Post by pom on Apr 25, 2016 8:38:54 GMT
It's not SS who write the regulations...
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spiral
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Post by spiral on Apr 25, 2016 9:15:58 GMT
I'd quite like this idea per se to be able to transfer holdings between me and my wife.
Not sure how it would be coded though. Perhaps a "Linked account" similar to some B/S have for withdrawals.
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SteveT
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Post by SteveT on Apr 25, 2016 10:15:54 GMT
savingstream I assume that you are preparing your IT systems to handle ISAs. Can you please include a "bed & breakfast" facility so that we can transfer existing holdings into our ISA? I realise that there is no direct incentive for you to so but you have always been receptive to suggestions in the past so I hope you will look favourably on this. It is not feasible to DIY on the SM because it is monitored by 24/7. Government ISA regulations don't permit it since all ISA purchases must be made on an open-market price basis. By definition, if there's no availability in a loan and any parts listed for sale would be hoovered up instantly, the "real world" open market price is higher than par. See various other similar IFISA discussion threads.
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Post by Deleted on Apr 25, 2016 10:59:27 GMT
savingstream I assume that you are preparing your IT systems to handle ISAs. Can you please include a "bed & breakfast" facility so that we can transfer existing holdings into our ISA? I realise that there is no direct incentive for you to so but you have always been receptive to suggestions in the past so I hope you will look favourably on this. It is not feasible to DIY on the SM because it is monitored by 24/7. . By definition, if there's no availability in a loan and any parts listed for sale would be hoovered up instantly, the "real world" open market price is higher than par. See various other similar IFISA discussion threads. Well, providers do allow S&S ISA transfers with a mechanism called 'bed and isa' which effectively goes around any eventual regulation. One way to implement legally this sort of IF-ISA transfer would be to have queued buying for ISA Investments... i.e. I, an IF-ISA potential investor, ask SS (IF-ISA manager) to buy for me 15k of loans x,y,z within the next 30 days for my IF-ISA. This requests is queued (with any other IF-ISA queue request) and executed in batches as soon as there is market availability of the same good. I can 'facilitate' the IF-ISA buy, putting my non-ifisa loan investment on sale after I have been queued... If I am the first on the queue I will get it immediately. If not, in any case I will have good chances to buy it within the 30 days timeframe given there is reasonable cashflow/exchanges on the SM. Of course if there is a massive influx of money from ISA (as I suspect) there might be quite some wait on the queues.
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littleoldlady
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Post by littleoldlady on Apr 25, 2016 11:05:55 GMT
savingstream I assume that you are preparing your IT systems to handle ISAs. Can you please include a "bed & breakfast" facility so that we can transfer existing holdings into our ISA? I realise that there is no direct incentive for you to so but you have always been receptive to suggestions in the past so I hope you will look favourably on this. It is not feasible to DIY on the SM because it is monitored by 24/7. Government ISA regulations don't permit it since all ISA purchases must be made on an open-market price basis. By definition, if there's no availability in a loan and any parts listed for sale would be hoovered up instantly, the "real world" open market price is higher than par. See various other similar IFISA discussion threads. That's a shame, but it only affects the current year allowance of £15,240 so when IFISAs become available we can put money in it up to that level, either new money or selling some existing loans. Perhaps a more important facility is to transfer in past year's cash ISAs into an SS IFISA. Would this be allowed?
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SteveT
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Post by SteveT on Apr 25, 2016 11:27:19 GMT
Government ISA regulations don't permit it since all ISA purchases must be made on an open-market price basis. By definition, if there's no availability in a loan and any parts listed for sale would be hoovered up instantly, the "real world" open market price is higher than par. See various other similar IFISA discussion threads. That's a shame, but it only affects the current year allowance of £15,240 so when IFISAs become available we can put money in it up to that level, either new money or selling some existing loans. Perhaps a more important facility is to transfer in past year's cash ISAs into an SS IFISA. Would this be allowed? Yes, there is no obstacle (regulations-wise) to transferring in cash from past years' ISAs.
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SteveT
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Post by SteveT on Apr 25, 2016 11:30:15 GMT
Government ISA regulations don't permit it since all ISA purchases must be made on an open-market price basis. By definition, if there's no availability in a loan and any parts listed for sale would be hoovered up instantly, the "real world" open market price is higher than par. See various other similar IFISA discussion threads. Well, providers do allow S&S ISA transfers with a mechanism called 'bed and isa' which effectively goes around any eventual regulation. That's correct. When you "bed & ISA" a parcel of shares from a non-ISA account into a S&S ISA, you make 2 separate open-market Sell and Buy transactions, at open-market prices which may often be different. You are not re-buying your own units at a fixed "closed market" price. There would be nothing to stop you selling loan parts from a non-ISA SS account and then buying loan parts in an IFISA SS account, but you'd need to do so on an open-market basis (risking the chance that other lenders would buy your units before you manage to!)
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Post by ladywhitenap on Apr 25, 2016 11:52:52 GMT
Is there any background reading I can look at about IFISAs? links etc
I'm quite interested in using a ISA wrapper around my P2P investments but don't really want to be tied to one particular platform per year for doing so.
Might we be allowed to "self certificate" the total invest to declare it within the maximum or are we likely to have to use some sort of consolidation service to manage this (and pay charges for the service)?
Maybe this is all a bit premature and I'll just have to sit on my hands and wait.
TIA
LW
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ilmoro
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Post by ilmoro on Apr 25, 2016 12:40:38 GMT
Is there any background reading I can look at about IFISAs? links etc I'm quite interested in using a ISA wrapper around my P2P investments but don't really want to be tied to one particular platform per year for doing so. Might we be allowed to "self certificate" the total invest to declare it within the maximum or are we likely to have to use some sort of consolidation service to manage this (and pay charges for the service)? Maybe this is all a bit premature and I'll just have to sit on my hands and wait. TIA LW Quite a few threads in the general board with erudite and detailed discussions of IFISA from various different aspects, some quite technical admittedly. Also threads on RS, SS, & Zopa boards. Ive found a lot of the info in the press & elsewhere to be a bit woolly & imprecise. Your're only tied to one platform for current year money, otherwise you can have as many platforms as you like with previous year money. Within a tax year you do effectively 'self certificate' that you have stuck to the rules but ISA managers report total annual contributions to HRMC so any breaches would come to light and remedial action be required.
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nick
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Post by nick on Apr 25, 2016 12:48:18 GMT
Is there any background reading I can look at about IFISAs? links etc I'm quite interested in using a ISA wrapper around my P2P investments but don't really want to be tied to one particular platform per year for doing so. Might we be allowed to "self certificate" the total invest to declare it within the maximum or are we likely to have to use some sort of consolidation service to manage this (and pay charges for the service)? Maybe this is all a bit premature and I'll just have to sit on my hands and wait. TIA LW The definitive legislation can be read here: www.gov.uk/government/publications/draft-legislation-innovative-finance-individual-savings-account-and-peer-to-peer-loansNote, it is regulation and not commercial considerations that prevent taking up more than one IFISA a year. This restriction has always been in place for ISA's (eg only being allowed to open one ISA account per year) and remains unchanged in the new regime which only increases the range of eligible investments.
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Post by ladywhitenap on Apr 25, 2016 19:55:07 GMT
Is there any background reading I can look at about IFISAs? links etc I'm quite interested in using a ISA wrapper around my P2P investments but don't really want to be tied to one particular platform per year for doing so. Might we be allowed to "self certificate" the total invest to declare it within the maximum or are we likely to have to use some sort of consolidation service to manage this (and pay charges for the service)? Maybe this is all a bit premature and I'll just have to sit on my hands and wait. TIA LW The definitive legislation can be read here: www.gov.uk/government/publications/draft-legislation-innovative-finance-individual-savings-account-and-peer-to-peer-loansNote, it is regulation and not commercial considerations that prevent taking up more than one IFISA a year. This restriction has always been in place for ISA's (eg only being allowed to open one ISA account per year) and remains unchanged in the new regime which only increases the range of eligible investments. Thanks for the link Nick - I'll give it a try sound like it might be heavy reading lol. Regarding ISA vs IFISA, with my ISAs each year I can put a number differing investments from a whole variety of companies inside the wrapper. With the IFISA the suggestion is that I can only invest in the "product" of one company ie one P2P platform in any one year. LW
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littleoldlady
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Post by littleoldlady on Apr 25, 2016 21:21:34 GMT
Regarding ISA vs IFISA, with my ISAs each year I can put a number differing investments from a whole variety of companies inside the wrapper. With the IFISA the suggestion is that I can only invest in the "product" of one company ie one P2P platform in any one year. LW There's not really any difference AIUI. For "shares" read "loans". Each year you can only have one S&S ISA from one platform and you can only have one IFISA from one platform.
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ilmoro
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Post by ilmoro on Apr 25, 2016 21:42:42 GMT
Regarding ISA vs IFISA, with my ISAs each year I can put a number differing investments from a whole variety of companies inside the wrapper. With the IFISA the suggestion is that I can only invest in the "product" of one company ie one P2P platform in any one year. LW There's not really any difference AIUI. For "shares" read "loans". Each year you can only have one S&S ISA from one platform and you can only have one IFISA from one platform. No, technically there isnt any difference in the basic concept. The problem is there are very few aggregator platforms in P2P as yet, the market is too immature, so its a lot harder to mirror the norm in S&S ISA in IFISA. Not surprising most platforms have concentrated on their own business rather than providing API/access to loans for someone else. Other point of course is you are likely to pay fees for aggreator platforms which will reduce returns.
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gurberly
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Post by gurberly on Apr 26, 2016 7:23:33 GMT
There are a few of P2P Investment Trusts which could give some general exposure to P2P lending within the confines of an existing S&S ISA.
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24/7.
