MSE News: Summer Budget 2015: Peer-to-peer savings to be included in ISAs 8 July 2015 at 7:03PM in ISAs & Tax-free Savings 6 replies 7.8K views

Former_MSE_Helen

Peer-to-peer savers will be able to get their 'interest' tax-free from April 2016...

Read the full story:

Summer Budget 2015: Peer-to-peer savings to be included in ISAs




Click reply below to discuss. If you haven’t already, join the forum to reply. If you aren’t sure how it all works, read our New to Forum? Intro Guide.

kidmugsy

So I have until April '16 to absorb all jamesd's advice, and then put a toe in the water.

AndyT678

MSE_Helen wrote: »

Under the new proposals, which will be voted on later this year, anyone who lends money to other individuals over a peer-to-peer platform (which is effectively the same as saving the money) will be able to do this within an ISA wrapper.

Am I reading that right? Are MSE really saying that lending money with all the associated default, liquidity and platform risks is THE SAME AS saving in an FSCS protected bank account?

masonic

MSE_Helen wrote: »

The limit will be the same as a standard ISA, currently £15,240 (which will rise in line with inflation).

A separate limit that is set at the same level as a standard ISA, or the same limit shared between cash, S&S and P2P?

If it is a shared limit, then I'd be pretty hesitant to make use of it for the reasons AndyT678 alludes to. Even S&S ISAs have FSCS cover against fraud and nominee insolvency. It's completely unclear what would happen if a P2P platform offering ISAs went 'pop' - the FSCS protects the ISA status of savings/investments, but with no FSCS would the ISA wrapper simply evaporate and be lost?

Presumably this will also discourage people from diversifying across platforms if it's only one IF ISA per tax year.

Jenna_Appleseed

Martin Lewis appears to disagree with this article on his twitter
https://twitter.com/MartinSLewis/status/619102513502023680

Martin LewisVerified account
‏@MartinSLewis
I agree, its not our subject. I'm going to get it deleted. I was out of the office filming yesterday.
12:15 PM - 9 Jul 2015

canterswest

Jenna_Appleseed wrote: »

Martin Lewis appears to disagree with this article on his twitter
https://twitter.com/MartinSLewis/status/619102513502023680

Martin Lewis stood down and is part time chairman so no longer in control of what appears on the website.

Archi_Bald

canterswest wrote: »

Martin Lewis stood down and is part time chairman so no longer in control of what appears on the website.

Not effective until sometime in September http://www.moneysavingexpert.com/news/site/2015/07/martin-lewis-to-remain-at-moneysavingexpertcom-in-new-role-as-chairman?_ga=1.5257459.1792643167.1435847652