Need advice on Ratesetter 5 year investment please

jamesd

You might want to consider putting some money into the relatively new P2P platform Ablrate. Not currently a problem to get over 10% there, taxable. Don't go overboard on any newish platform.

codetown

a) Ratesetter is by far the SIMPLEST platform to use.
b) It is ALL automatic and you can set automatic reinvestment plans that will be executed without intervention. I haven't touched the platform for months and it does all on its own!
c) There is the full security of the Provision Fund (which is huge, now getting close to 10 million pounds) which is a guarantee that NO LOSS will be made on loans.
d) Withdrawing money is fantastically easy. You can set the money to be sent to you as it is available (for example on a weekly basis) or to have it reinvested (all automatically) on the market once it is available and sent back to you at the end.
Again: it is NOT like other complicated p2p platform. You don't have to study anything at all. Just decide the length of your investment, the reinvestment options 8sent to you a/c or reinvested in the platform) and then get the money rolling without any intervention! I have no idea how many loans I have lent to and cannot care less, given the protection of the provision fund.

The rates overall have decreased 1-2% with its increase in popularity, but RS is still the TOP p2p platform for me as it takes ZERO effort to manage (so don't even think to anyone else if you worry the hassle... really RS is the best).

jamesd

It's really hard for me to think of a P2P platform that pays half as much as some others as the best. Maybe easy to use but others can probably match it on that, there are a lot to choose from.

TheTracker

jamesd wrote: »

It's really hard for me to think of a P2P platform that pays half as much as some others as the best. Maybe easy to use but others can probably match it on that, there are a lot to choose from.

Perhaps it has less than half the risk? I'm getting 9.2% at my p2p but fully expect something to bellyup at some point and knock it down a few points. Some people don't want that fear and would happily settle for 5%.

Personally I'm not grabbed by RS. Seems to be the Nutmeg of P2P, which all the more intrigues me as many of the folk here lean toward it but would never go for an off the peg investment solution. The riskier P2Ps have pooled loans for about 7% and I'd sooner go for those. I wonder what RS spends on advertising. And who do you think pays for the compensation schemes?

jamesd

I doubt that RS is lower enough in risk to cover a 5% difference given that I'm thinking of alternatives like Ablrate that are secured on physical property.

bowb

Hi Jamesd . I think its all about horses for courses. For me I just want to better the interest I am getting from normal banking accounts. RS will do this. It is very flexable, pretty safe and easy to use website. Like me, 45% of RS investers are over 65 years old so guess we want things simple. I have 10k split evenly into the monthly and yearly accounts, I call this our Funeral Fund. So if the wife and I live longer than expected we can earn enough profit to have a good knee's up before or after the event....So its not all about making big money.

jamesd

i agree that there's more to it than just money. Still, the difference between 10% and 5% is £16,288 vs £25,937 after ten years so maybe it's worth a little experimenting.

bowb

jamesd wrote: »

i agree that there's more to it than just money. Still, the difference between 10% and 5% is £16,288 vs £25,937 after ten years so maybe it's worth a little experimenting.

I agree, if I had know about P2P years back I would of invested more. Alas now with only pension's coming, I have missed the boat. I had a quick look at Ablrate, seems a bit to complicated, long term and somewhat risky. Good luck, hope you do well.

will76

Thanks very much for your thoughts on this folks, didn't expect such a discussion, fancy tables too! I will continue to give it some thought but really appreciate everyone's help, cheers!