Kufflink P2P lending chat thread

Alexland

mkh wrote: »

what happened to the Kuflink Referrers thread? its gone missing

I agree it's not coming up in searches or my posting history?

I did mine with bxboards who is a reliable payer and you can PM him for more details.

Alex

BeerMoney

I had an Assetz Capital thread which was removed. They've started removing threads that split a referral bonus for some reason (despite it not mentioning this anywhere on the forum rules that I can see)

bxboards

BeerMoney wrote: »

I had an Assetz Capital thread which was removed. They've started removing threads that split a referral bonus for some reason (despite it not mentioning this anywhere on the forum rules that I can see)

Strange, I reckon about 50% of the threads there have split referrals, including the Ratesetter thread which is still active.

I've started a new Kuflink thread - has no idea it has been pulled until someone else mentioned it further up.

EDIT - Too be honest, I think a lot of people don't understand the implications of splitting referrals. They are taxable, and I got little traffic from the thread as some folks were offering 80 or 90 quid. A 20% tax payer will get zero offering an 80%-20% referal thread, and someone offer 90%-10% will be a tenner down courtesy of HRMC, if they are a basic rate tax payer.

Nardge

bxboards wrote: »

EDIT - Too be honest, I think a lot of people don't understand the implications of splitting referrals. They are taxable, and I got little traffic from the thread as some folks were offering 80 or 90 quid. A 20% tax payer will get zero offering an 80%-20% referal thread, and someone offer 90%-10% will be a tenner down courtesy of HRMC, if they are a basic rate tax payer.

This assumes they don’t move the referral bonus into an IFISA. Moved into the latter, HMRC don’t take a slice...

gingercordial

bxboards wrote: »

EDIT - Too be honest, I think a lot of people don't understand the implications of splitting referrals. They are taxable, and I got little traffic from the thread as some folks were offering 80 or 90 quid. A 20% tax payer will get zero offering an 80%-20% referal thread, and someone offer 90%-10% will be a tenner down courtesy of HRMC, if they are a basic rate tax payer.

bxboards, on what basis do you think they are taxable?

Referral bonuses made by companies to their staff (eg if there's a suggestion box with an incentive) are taxable as that relates to employment. But I can't find anything that suggests a company paying a switching or referral bonus to a customer being taxable - assuming you don't work for Kuflink

All I could find on non-employee referral bonuses was this MSE thread from 2014/2015 which mentioned at that time that Nationwide said their RAF payment "could" be subject to tax, but I suspect that was them covering themselves against the possibility and also that wording isn't in the Nationwide RAF FAQs anymore.

https://forums.moneysavingexpert.com/discussion/5027548/switching-incentives-taxable

https://www.nationwide.co.uk/products/current-accounts/our-current-accounts/recommend-a-friend-tab

(I'm genuinely interested and not trying to catch you out, I promise! I am a tax adviser but I specialise in companies not people so this may have escaped my notice - but personally I have not been declaring referral bonuses on my tax return and would like to know if I'm wrong.)

Fatbritabroad

BeerMoney wrote: »

I had an Assetz Capital thread which was removed. They've started removing threads that split a referral bonus for some reason (despite it not mentioning this anywhere on the forum rules that I can see)

Well that explains why I've had three people ask me for my assetz referral code when I haven't offered to split anything lol

bxboards

gingercordial wrote: »

bxboards, on what basis do you think they are taxable?


(I'm genuinely interested and not trying to catch you out, I promise! I am a tax adviser but I specialise in companies not people so this may have escaped my notice - but personally I have not been declaring referral bonuses on my tax return and would like to know if I'm wrong.)

All P2P sites that offer a referral scheme, report to HMRC and on your individual tax statements referral income as taxable income.

It really important to understand the difference between cashback (which isn't taxable), and commission, which is taxable income.

It isn't interest either, so isn't covered by the PSA.

bxboards

Fatbritabroad wrote: »

Well that explains why I've had three people ask me for my assetz referral code when I haven't offered to split anything lol

Beermoney's Assetz thread went again as did my new Kuflink thread.

But it can't be anything to do with splitting referrals.

No one has said why, the threads just vanish.

karlie88

As a side note, the referral amount is going down from £100 to £50 from 1st Oct.

bxboards

karlie88 wrote: »

As a side note, the referral amount is going down from £100 to £50 from 1st Oct.

I'd not heard that but no surprised. I'm honestly surprised they've been running it for so long.

I can't understand the economics of paying £100 to the referrer and £100 to the referee for a £500 investment, I can only assume the budget came from reducing their co-investment from 20% to 5%.

For example until recently Assetz Capital have never offered referrals and they've raised 12 million in just over a week with the 1% / 2% rate boost as I type so I'm not sure a referral scheme is viable long term. If your offering is good enough, you'll find customers I think.