10% p.a. Tax Free With An Innovative Finance ISA
You may well have read about the introduction of the new Innovative Finance ISA that is being launched in April.
This means that you will be able to invest in peer to peer lending products tax free. And, if you choose to do so via The House Crowd, you will be able to earn 9% tax free on our standard peer to peer loans or 10% tax free on our peer to peer new build development loans.
The fixed interest rates compare favourably with investments offered on other peer to peer platforms.
As with all loans, your capital is at risk, however, we mitigate the risks, as our loans are all secured against property*, whilst many other platforms make unsecured loans to businesses with no security.
At present, we operate under an FCA interim permission. Our application for full permission, which we submitted in October, is still being processed by the FCA and we will not be able to offer the ISA until the FCA have finished doing that.
Once we are fully authorised, you will be able to invest up to the ISA limit each year (currently £15,240) and you will be able to maximise your returns by transferring any ISA balances you hold with other providers to a House Crowd ISA if you choose to do so.
We expect to be in a position to launch the ISA within the next few months and will let you know as soon as we have news.
If you would like further information about how the Innovative Finance ISA works visit:
*Risk warning: Interest payments are not guaranteed if the borrower defaults. The value of property can go down as well as up and your capital is at risk. If the secured property cannot be sold for more than the amount of the loan you may lose some or all of your capital.
In respect of Peer to Peer investments, The House Crowd is authorised and regulated by the Financial Conduct Authority under interim permission number 665205 to conduct peer to peer lending activity in the UK.