Castle trust

MYLOARCHIEOSCAR

Has anyone heard of castle trust, set up 2012 i think and backed by an american bank, they are offering 4% on a 5 year deal for a bond, minimum investment £1,000 maximum £250,000

colsten

I checked them out the other day as they are advertising all over the place. They prominently display on their home page:

You risk losing capital should Castle Trust become insolvent.

Their licence forces them to state that.

They try to soften the above by saying

If we cannot meet our obligations you can seek compensation of up to £50,000 under the Financial Services Compensation Scheme (FSCS), provided you are eligible for FSCS protection.

Note it says "you can seek", not "you will be able to claim". Reason is that you have no guarantee that you will actually get your money back.

I am not touching them as there are a lot less risky investments that yield the same or better.

MYLOARCHIEOSCAR

Yes that comment of you can claim up to £50,000 compensation didn't fill me with confidence either, i would be interested at a higher rate if you know who!!!

jimjames

MYLOARCHIEOSCAR wrote: »

Yes that comment of you can claim up to £50,000 compensation didn't fill me with confidence either, i would be interested at a higher rate if you know who!!!

Just ignore ones offering a high rate with guarantee.

Equity income funds offer 4% plus income. No guarantee but you also won't be getting ripped off and losing 100% of your money.

MYLOARCHIEOSCAR

Thanks jimjames, can you recommend anyone???

Archi_Bald

To help you with some suggestions, you need to provide a lot more information about your requirements, such as:

How much money is involved?

How long can you put the money away for?

How much can you risk to lose?

What is your tax rate?

What are your pension arrangements?

How big is your emergency fund?

What if any debts do you have?

jimjames

Archi_Bald wrote: »

How much can you risk to lose?

The OP probably doesn't realise they're prepared to lose 100% with the option listed.

I can't recommend anything specific but if you look at https://www.monevator.com you'll find some pointers and trading ideas.

Ultimately anything decent won't have the same guarantee as a bank account and anything with huge return that claims to be guaranteed is almost certainly a scam especially if it is unregulated. A regulated investment has to meet certain requirements so you have a level of protection there

MYLOARCHIEOSCAR

Thanks jimjam

Archi_Bald

Doesn't sound like someone looking for an investment for themselves......