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Post by mrclondon on Feb 25, 2017 20:10:23 GMT
I have been giving some thought to IFISA's and I'm struggling to convince myself that they will actually meet my needs.
Firstly some background - I have several past years S&S ISA's but have not been opening one every year as until my early retirement in 2015 I favoured ploughing surplus money into my SIPP (investing in S&S) to gain the upfront 40% tax relief. I did at one time have a few years of cash ISA's but those have long since been ditched to fund p2p loans. The ISAs/SIPP I have are all with HL allowing me to swap between funds/shares/bonds/cash as I wish. I will have no new money for investing for the next few years, and wish to maintain my current split between S&S and p2p.
As a high level strategy my intention has been to use the next few years ISA allowance in the form of p2p IFISAs to build an appropriately sized ISA pot that I can transfer to HL when I draw the 25% tax feee cash out of my SIPP (i.e. a sideways move of that block of money, retaining it in a tax free S&S wrapper as the capital gains tax protection is pretty vital).
So far so good. But the concern I have is finding a p2p platform with a sufficiently strong pipeline of loans that I can always re-invest in loans which meet my due dilligence. At present, just FS meets that criteria for me, with most other platforms I find myself shuffling cash between platforms as there simply aren't enough opportunities that I like in which I can invest 4 figure sums per loan at the 9-13% yield I target. I mention that FS is able to soak up as much cash as I throw at it for now, but over the last 3 years the platform that has provided that breadth of opportunity has varied.
For now the conclusion seems to be that if I want to build up an ISA pot over the next few years, I might have to compromise and use a lower yield invest and forget p2p platform for the IFISA's. Whether that is really the right strategy I'm not sure.
EDIT: I guess what I really want is an IFISA wrapper that is able to invest in multiple p2p platforms, but for now all the platforms seem to be going down the single platform IFISA route. The fact that SIPP wrappers for p2p have failed to materialise in any number, or survive when they do launch, tempers my expectations for a IFISA wrapper any time soon.
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stevio
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Post by stevio on Feb 25, 2017 22:31:02 GMT
I have been giving some thought to IFISA's and I'm struggling to convince myself that they will actually meet my needs. Firstly some background - I have several past years S&S ISA's but have not been opening one every year as until my early retirement in 2015 I favoured ploughing surplus money into my SIPP (investing in S&S) to gain the upfront 40% tax relief. I did at one time have a few years of cash ISA's but those have long since been ditched to fund p2p loans. The ISAs/SIPP I have are all with HL allowing me to swap between funds/shares/bonds/cash as I wish. I will have no new money for investing for the next few years, and wish to maintain my current split between S&S and p2p. As a high level strategy my intention has been to use the next few years ISA allowance in the form of p2p IFISAs to build an appropriately sized ISA pot that I can transfer to HL when I draw the 25% tax feee cash out of my SIPP (i.e. a sideways move of that block of money, retaining it in a tax free S&S wrapper as the capital gains tax protection is pretty vital). So far so good. But the concern I have is finding a p2p platform with a sufficiently strong pipeline of loans that I can always re-invest in loans which meet my due dilligence. At present, just FS meets that criteria for me, with most other platforms I find myself shuffling cash between platforms as there simply aren't enough opportunities that I like in which I can invest 4 figure sums per loan at the 9-13% yield I target. I mention that FS is able to soak up as much cash as I throw at it for now, but over the last 3 years the platform that has provided that breadth of opportunity has varied. For now the conclusion seems to be that if I want to build up an ISA pot over the next few years, I might have to compromise and use a lower yield invest and forget p2p platform for the IFISA's. Whether that is really the right strategy I'm not sure. EDIT: I guess what I really want is an IFISA wrapper that is able to invest in multiple p2p platforms, but for now all the platforms seem to be going down the single platform IFISA route. The fact that SIPP wrappers for p2p have failed to materialise in any number, or survive when they do launch, tempers my expectations for a IFISA wrapper any time soon. Agree, no current platforms giving those returns that I am willing gamble on I think there are some multi platform IFISAs in the pipeline, bit they have a 1% annual management fee Obviously there is the S&S ISA route to preserve allowance Or if happy taxed returns with your choice of platform, could use flexible cash ISA and deposit-withdraw-deposit during tax yr Any other options?
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Liz
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Post by Liz on Feb 25, 2017 23:17:18 GMT
I'm looking at IT's in an S&S ISA. I have no S&S exposure am in my 30's, nearly mortgage free, so I want to invest some funds for the long term 5-10 years+
I've been looking into a few IT's:
FEET
WPCT
PLI
Maybe something smallcap too. Maybe THRG on a nice discount. P2P can;t be ruled out too.
If markets fall, I can load up again with some of next years allowance.
Any IT's that I should be looking at?
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Post by newlender on Feb 26, 2017 8:23:21 GMT
It seems that Zopa and Ratesetter will clean up once they get authorisation. Looking at Z+, for example, that would be a good bet as the extra tax-free interest would wipe out my capital defaults very easily (at current pace) and leave me with a healthy profit.
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jonah
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Post by jonah on Feb 26, 2017 10:03:43 GMT
Bondmason is a possible for IFISA except it might be a long time or never to wait for it to arrive plus it looks like they may charge as much as 1.5% for it. Those looking for a fire and forget IT portfolio might want to consider looking at "luni's basket of eight" which was popularised on the fool which has now become "lemonfool". There's a healthy IT board on there. Or basket of 7. Or a combination of the two.
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Post by Deleted on Feb 26, 2017 10:09:48 GMT
Bondmason is a possible for IFISA except it might be a long time or never to wait for it to arrive plus it looks like they may charge as much as 1.5% for it. Those looking for a fire and forget IT portfolio might want to consider looking at "luni's basket of eight" which was popularised on the fool which has now become "lemonfool". There's a healthy IT board on there. What on earth is luni's basket of eight? Is lemonfool something like this site for S&S, keen to find something similar!
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Post by hnwlending on Mar 15, 2017 11:19:47 GMT
I've only just been made aware of your forum and it looks great, although I am completely new to forums to please excuse me if I'm not following the right etiquette!
I am the MD of HNW Lending Ltd. We are a fully FCA authorised firm (authorised in January 2017) and also have HMRC permission to offer IF ISAs and have flexible ISAs
We have been going for 3 years, have done over 150 loans, and have never lost a penny of interest or capital to date as all the loans we do are secured loans. Secured loans means first or second charge on property or taking an asset like a high value car or plane into a storage facility under our control
We are basically funded by a collection of wealthy individuals, with the average individual investor having over £100k invested in our loans. We do however allow investors to put a minimum of £5k per loan (or £10k per loan outside of the ISA). Investors choose which loans they wish to invest in and the rate investors earn ranges from about 7% to 15% depending on the risk of the loan - ie a low LTV (loan to value) first charge would pay lower interest than a high LTV second charge
My number is 07958 636 106 and email is ben@hnwlending.co.uk if you wanted to find out any more information
Thanks
Ben
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Post by charles on Mar 16, 2017 14:31:43 GMT
In response to the question which headed this poll, may I suggest Property Crowd as a feasible option? We recently got our own IFISA up and running, just in time for the end of tax year rush. Better late than never!  www.PropertyCrowd.com |
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Post by winger on Mar 20, 2017 20:18:54 GMT
I am struggling to find any mention of fees for the IFISAs at HNW Lending and Property Crowd.
Actually, I suspect most people wouldn't be able to find ANY information about IFISAs at the HNWL website, a problem only made worse by the lack of a unique link colour!
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ilmoro
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'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 Mar 20, 2017 20:33:53 GMT
I am struggling to find any mention of fees for the IFISAs at HNW Lending and Property Crowd. Actually, I suspect most people wouldn't be able to find ANY information about IFISAs at the HNWL website, a problem only made worse by the lack of a unique link colour! The link to relevant page is in the IFISA list pinned at the top of this board Link on the site is buried in the lender FAQ, no fees IIRC. hnwlending.co.uk/ifisaProperty Crowd IFISA fees are refered to in the FAQ accessible from the menu at the top when signed in edit hnwlending cant see any actual reference to fees anywhere on your site and there doesnt appear to be any T&Cs either, just FAQ
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mike
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Post by mike on Mar 20, 2017 20:34:50 GMT
The IFISA fee at Property Crowd for the current loan is 1% plus VAT. This will be reviewed at the start of the new tax year. It was mentioned elsewhere that it would be 1.5% plus VAT in the future.
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Post by winger on Mar 20, 2017 21:18:38 GMT
Thanks guys (though I don't think you should have to sign in - i.e. register - in order to see fees).
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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 Mar 20, 2017 21:36:57 GMT
A fair point charles In the interests of transparency, you should probably add the bit about fees to the ISA page avaliable to the public. Cant see any real reason for this to be hidden or the IFISA T&Cs/FAQ. People would be a bit miffed if they had to jump through ID hoops providing certified docs only to find they didnt like the charges/T&Cs on the ISA. Not hidden for normal account. |
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Post by andrewcfa on Mar 21, 2017 13:07:56 GMT
Whilst Crowd for Angels IF-ISA is not on the vote, people can open an IF-ISA with us already. Our secured crowd bonds currently pay up to 9% p.a., usually with interest paid monthly. The are no management or on-going fee's for Investors and as an added incentive, we are offering 2% AER on cash balances up until June 2017. You can find out more here: crowdforangels.com/open-an-isa |
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ilmoro
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'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 Mar 21, 2017 15:34:29 GMT
Whilst Crowd for Angels IF-ISA is not on the vote, people can open an IF-ISA with us already. Our secured crowd bonds currently pay up to 9% p.a., usually with interest paid monthly. The are no management or on-going fee's for Investors and as an added incentive, we are offering 2% AER on cash balances up until June 2015. You can find out more here: crowdforangels.com/open-an-isa Ok, Im puzzled. The interest earnt on the cash balance held within a tax free IFISA wrapper isnt tax exempt. Could you explain why?
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