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    • masonic
    • By masonic 7th Feb 19, 9:56 PM
    • 10,998 Posts
    • 8,486 Thanks
    masonic
    Sure but you gave a hypothetical case of firms having FSCS protection. So we need to assume collateral had FSCS protection.
    Originally posted by itwasntme001
    Ok, I'll accept that.
    Originally posted by masonic
    Although it isn't material to the hypothetical discussion above, I should clarify that the investments made through Collateral were probably not P2P. Most likely the investments will be considered to be in an unregulated collective investment scheme. As such all losses are capital losses that cannot be offset against P2P interest, but can be offset against capital gains. And if P2P was covered by the FSCS, Collateral would still have been exempt. Just in case anyone was under any misapprehension.
    • shoi
    • By shoi 11th Feb 19, 9:12 AM
    • 146 Posts
    • 37 Thanks
    shoi
    Firstly, Collateral was not authorised, it was trading fraudulently. .....
    Originally posted by masonic

    They have said that they had expensive legal advice that the authorisation was sufficient
    • shoi
    • By shoi 11th Feb 19, 9:15 AM
    • 146 Posts
    • 37 Thanks
    shoi
    .... I should clarify that the investments made through Collateral were probably not P2P. Most likely the investments will be considered to be in an unregulated collective investment scheme. ...
    Originally posted by masonic

    I must have blinked. What tells you that?
    • masonic
    • By masonic 11th Feb 19, 1:19 PM
    • 10,998 Posts
    • 8,486 Thanks
    masonic
    They have said that they had expensive legal advice that the authorisation was sufficient
    Originally posted by shoi
    The authorisation would have been sufficient if they had it. They didn't. The authorisation of a different, dissolved company was fraudulently altered to make it look like it belonged to Collateral.

    Much like valuation reports, legal advice is dependent on the quality of the information upon which it is based.

    I must have blinked. What tells you that?
    Originally posted by shoi
    It has been discussed at length over in the P2P Independent Forum. Collateral was not authorised to facilitate P2P agreements. As such, these could not have been P2P loans as defined in Article 36H of the FSMA 2000 regulated activities order . HMRC further clarifies its definition of a P2P loan is "based on the definition used to define peer to peer lending as an activity that is regulated by the Financial Conduct Authority" and "A platform that arranges article 36H agreements will be carrying on the regulated activity of 'operating an electronic system in relation to lending' and will need to be authorised by the FCA".

    In short, I wouldn't try to claim income tax relief on your Collateral losses if I were you.
    • MoneyGeoff
    • By MoneyGeoff 12th Feb 19, 12:40 PM
    • 155 Posts
    • 117 Thanks
    MoneyGeoff
    I was quite surprised that Martin kept saying 'P2P Saving' instead of 'P2P Investing' on TV last night.

    He did correct himself at one point and say it's investing, not saving. But then he continued to say 'P2P Saving' for the rest of the show and then again on twitter last night.

    Perhaps I'm being pedantic but I would have thought in Martin's position he'd be very clear on the difference and not jumble up the terms.
    • george4064
    • By george4064 12th Feb 19, 3:02 PM
    • 1,102 Posts
    • 1,122 Thanks
    george4064
    I can't login to my RateSetter account at the moment.

    After entering my username and password, and hit 'LOGIN' nothing happens. My internet is working fine.

    Anyone else having issues?
    "If you arenít willing to own a stock for ten years, donít even think about owning it for ten minutesĒ Warren Buffett

    Save £12k in 2016 - #045 £10,358.81/£12,000 (86%)
    Save £12k in 2017 - #003 £12,427.51/£12,000 (104%)
    Save £12k in 2018 - #004 £5,529/£12,000 (46%)
    • AdrianC
    • By AdrianC 12th Feb 19, 3:55 PM
    • 21,044 Posts
    • 19,734 Thanks
    AdrianC
    I can't login to my RateSetter account at the moment.

    After entering my username and password, and hit 'LOGIN' nothing happens. My internet is working fine.

    Anyone else having issues?
    Originally posted by george4064
    Just tested, and RS are working fine from here.
    • masonic
    • By masonic 12th Feb 19, 5:47 PM
    • 10,998 Posts
    • 8,486 Thanks
    masonic
    I was quite surprised that Martin kept saying 'P2P Saving' instead of 'P2P Investing' on TV last night.

    He did correct himself at one point and say it's investing, not saving. But then he continued to say 'P2P Saving' for the rest of the show and then again on twitter last night.

    Perhaps I'm being pedantic but I would have thought in Martin's position he'd be very clear on the difference and not jumble up the terms.
    Originally posted by MoneyGeoff
    You are not being pedantic. The FCA considers any association of P2P with 'saving' to be misleading and has even made one P2P platform change its name because it included the word 'Saving'.
    • Nardge
    • By Nardge 13th Feb 19, 11:37 AM
    • 84 Posts
    • 17 Thanks
    Nardge
    Quick Query -

    When I first invested in P2P, large sums were invested, and autobid 'parcels' were equally large as a result...

    Funding Circle 'Balanced' has defaulted a single loan part (£49.60), and Zopa 'Plus' several (£97.50 in total).

    I believe that if I'd drip-fed the initial funds, the 'parcels' would have been smaller, and consequently,
    the above default losses much smaller too? Is my thinking right?

    Therefore, where no charge to sell loans is incurred (Funding Circle) and so as to create smaller 'parcels',
    it'd be a good idea to sell all FC loans, reinvest the sum again in FC by dripfeed (turning autobid on and off),
    thus creating tiny 'parcels', and only tiny losses as a result? Is this correct?

    I know neither of the above P2P have a safeguard, though that hasn't been to my great detriment as yet.

    With Kind regards
    Last edited by Nardge; 13-02-2019 at 10:26 PM.
    • JimmyTheWig
    • By JimmyTheWig 15th Feb 19, 5:12 PM
    • 11,816 Posts
    • 11,355 Thanks
    JimmyTheWig
    Hopefully a quick question - when does the interest count in terms of tax purposes.

    I opened a Ratesetter account in December with a 1 year product.
    In January that settled early and I earned £2.97 interest.
    The money went automatically into the Rolling product (see earlier posts).
    I took it out of Rolling into another 1 year product and earned £1.22 interest for the period it was rolling.

    Assuming that I leave the money in there for the whole year, in December I'll get a load of interest. At which point I'll probably withdraw the whole lot back to my current account.

    Do I declare the £4.19 interest in this tax year, and the rest of it when it is paid in the next tax year?
    Or do I only declare it when it comes back into my current account on the basis that I might not get all of it back?
    • masonic
    • By masonic 15th Feb 19, 5:28 PM
    • 10,998 Posts
    • 8,486 Thanks
    masonic
    Do I declare the £4.19 interest in this tax year, and the rest of it when it is paid in the next tax year?
    Or do I only declare it when it comes back into my current account on the basis that I might not get all of it back?
    Originally posted by JimmyTheWig
    You declare it as being received in the tax year in which it is paid. It does not matter if you later lose it, although you could get bad debt relief against other P2P interest at the point it is declared irrecoverable.

    You will have access to a tax statement after the end of the tax year. That will summarise what you need to declare.
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