Peer-to-peer lending sites: MSE guide discussion

jnm21

jamesd wrote: »

About 85% of financial spread betting customers lose money. Not necessarily due to not knowing what they are doing but perhaps to exiting when the market goes against them and they reach their safety limits.

Neither Zopa nor RateSetter provide either good rates or good exit conditions compared to some of the products out there that offer secured loans at about 12% with no exit charge instead.

Just had alook at ablrate based on this & your previous comment - the aircraft & default threads on P2PIF looked good - I was ready to invest, then I started reading the 5 year container thread & frankly my head hurts!

Can anyone confirm if I have a small investment with RateSetter (and maybe also Zopa), nothing else other than savings & a small number of shares, total interest negligible compared to my PSA, will I need to complete a tax return (my salary is taxed via PAYE)?

badger09

jnm21 wrote: »

Can anyone confirm if I have a small investment with RateSetter (and maybe also Zopa), nothing else other than savings & a small number of shares, total interest negligible compared to my PSA, will I need to complete a tax return (my salary is taxed via PAYE)?

No you won't have to complete a return. The interest from P2P loans is covered by the PSA, so as long as you don't exceed that, you don't need to do anything.

masonic

badger09 wrote: »

No you won't have to complete a return. The interest from P2P loans is covered by the PSA, so as long as you don't exceed that, you don't need to do anything.

...but even if you did exceed it, you would only need to write a letter declaring the amount of interest earned.

jamesd

jnm21 wrote: »

then I started reading the 5 year container thread & frankly my head hurts!

The reason you see so much positive comment from people who are getting the emails there is that Ablrate is doing by far the most determined debt collection that I've ever seen from a P2P firm. Best to tell Ablrate customer service that you were considering investing but were put off by that discussion and ask them if they can send you the recent update email. If you sign up for an account there you should get later emails on it automatically, though the ones or those invested can safely say more about what's happening.

jnm21 wrote: »

Can anyone confirm if I have a small investment with RateSetter (and maybe also Zopa), nothing else other than savings & a small number of shares, total interest negligible compared to my PSA, will I need to complete a tax return (my salary is taxed via PAYE)?

Not by the time it matters. HMRC is planning to introduce a form that can be used to report interest above the allowance to them instead of using a letter, phone call or tax return.

jnm21

Thank you very much to the three posters above - if my laptop battery had not died your prompt replies would have saved me a worried afternoon!

If I could click thanks 5 times each I would!

badger09

masonic wrote: »

...but even if you did exceed it, you would only need to write a letter declaring the amount of interest earned.

Indeed. That is what I've been doing for almost 10 years following my first foray into Zopa in 2006;)

jamesd

I see that someone has started a "UK P2P lending wiki no censorship". That isn't in major search engine results yet so would someone be kind enough to give its location here so it's easier to find and proper due diligence can be encouraged?

Froggitt

http://webcache.googleusercontent.com/search?q=cache:hJffaqcoeGwJ:p2pindependentforum.com/thread/6193/moved-p2p-lending-wiki-censorship+&cd=1&hl=en&ct=clnk&gl=uk

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23 minutes ago via mobile Post Options Post by oldnick on 23 minutes ago
When more of us are awake to consider this new approach we will decide whether to reinstate the link. We already know the opinions of those who think it should be visible and understand the likely frustration this move will cause. Please bear with us.

richbeth

jamesd wrote: »

I see that someone has started a "UK P2P lending wiki no censorship". That isn't in major search engine results yet so would someone be kind enough to give its location here so it's easier to find and proper due diligence can be encouraged?

http://uk-p2p-lending.wikia.com/wiki/UK_P2P_Lending_Wikia

jamesd

Some might be interested in the current good supply of loans on the Ablrate secondary market. Nine loans at or below original issue price and a few more not much above it. A nice chance to get a fairly diversified start.

It's unlikely that any of the loans will be bought from me, though maybe it'll help any future sales I might want to make.