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  • FIRST POST
    • dhearts88
    • By dhearts88 11th Feb 18, 10:00 PM
    • 4Posts
    • 0Thanks
    dhearts88
    Loan from my SIPP
    • #1
    • 11th Feb 18, 10:00 PM
    Loan from my SIPP 11th Feb 18 at 10:00 PM
    evening all,

    I recently read an article online about the possibility of loaning funds from my SIPP to an un-connected 3rd party private limited company and charging a market rate of interest for doing so.

    Can anyone advise of any SIPP providers that would allow me to do this? Also if there are any potential pitfalls for doing so, i.e any unexpected tax bills etc? Or % (of SIPP) I can loan to the company. Any pointers in reliable information would be fantastic. I have tried to sift through numerous pages of information online but find some of the information is contradictory or sounds too good to be true, which is unnerving.

    Thank you in advance.
Page 1
    • jonesMUFCforever
    • By jonesMUFCforever 11th Feb 18, 10:05 PM
    • 24,864 Posts
    • 12,051 Thanks
    jonesMUFCforever
    • #2
    • 11th Feb 18, 10:05 PM
    • #2
    • 11th Feb 18, 10:05 PM
    Pitfalls - what if the company loses all your money??
    What goes around - comes around
    give lots and you will always receive lots
    • dhearts88
    • By dhearts88 11th Feb 18, 10:19 PM
    • 4 Posts
    • 0 Thanks
    dhearts88
    • #3
    • 11th Feb 18, 10:19 PM
    • #3
    • 11th Feb 18, 10:19 PM
    Itís a person and business I trust in, so Iím comfortable on that front.
    • venison
    • By venison 11th Feb 18, 10:21 PM
    • 2,145 Posts
    • 2,293 Thanks
    venison
    • #4
    • 11th Feb 18, 10:21 PM
    • #4
    • 11th Feb 18, 10:21 PM
    I can't see any advantage over just taking out a loan from a loan co. as opposed to using a SIPP which I have never heard of before ?
    Ex Board Guide
    • tacpot12
    • By tacpot12 11th Feb 18, 11:29 PM
    • 1,032 Posts
    • 874 Thanks
    tacpot12
    • #5
    • 11th Feb 18, 11:29 PM
    • #5
    • 11th Feb 18, 11:29 PM
    You might find this link useful: https://www.curtisbanks.co.uk/assets/downloads/guides/guide-loans.pdf

    I found it by Googling "sipp loans to unconnected parties". There were lots of other hits - all saying either here is what we allow OR you can't do this with our SIPP.

    Email your existing SIPP provider to see if they will allow you to setup a secured loan from your SIPP.

    Please update us how you get on.
    • PeacefulWaters
    • By PeacefulWaters 12th Feb 18, 9:34 AM
    • 8,318 Posts
    • 10,655 Thanks
    PeacefulWaters
    • #6
    • 12th Feb 18, 9:34 AM
    • #6
    • 12th Feb 18, 9:34 AM
    Isn't it illegal and subject to a 55% tax charge?
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