IFISA stands for innovative finance individual savings account. It allows you to use your tax free allowance in peer to peer lending. It means that all the interest you earn through P2P lending will not be taxed. An IFISA works by lending money to the borrowers that could be individuals, businesses or property developers in return for a set amount of interest. You can pay your full ISA allowance into IFSA if you want. This allowance for the tax year 2021 is £20,000 and a tax year runs from 6th April to 5th April. The basic rate taxpayers can earn £1,000 tax free while a high rate taxpayers can earn £500 tax free interest from P2P lending.
Many IFISA providers are present in the UK. You can easily open your account and start earning tax free profit. To get the best rate you need to shop around and choose the best IFISA provider. To help you out we are providing the comparison of the UK’s top IFISA providers.
Kuflink was launched in 2011 as a bridging loan provider to property investors. With time the company has become a leading peer to peer lending and IFISA provider. What makes them stand out is their consistency. All their loans are secured against UK properties. They have no track record of default borrowers. Their interest rate never changes, that never goes down or up. This way you get what you are offered. The company has great customer service and treats their investors with utmost priority.
You can open an IFISA account if you are a UK resident and over 18 years of age. You can invest in 1,3 and 5 year terms and earn upto 7% gross per annum. Above all you can start investment with just £100.
Crowdstacker is an online peer to peer platform. Investors invest their money with this platform that is lent to individuals or businesses. The company has a team of qualified professionals that are highly experienced in finance. They work in an efficient way to provide you with investment options wrapped up in tax-efficient innovative finance ISA. The P2P loan size on crowdstacker is larger than that available on other platforms. Crowdstacker won an award for best peer to peer lending provider in 2016. You can invest for 12 to 36 months and get an interest rate ranging from 5 to 7%.
ArchOver is a company that helps you to borrow and lend money. It was launched in 2014 and they have funded nearly £50 million in loans. They state a track record of no borrower missing payment or reporting defaults. It also offers to invest in IFISA. You can open your flexible IFISA and earn up to 10%. You just need to register on ArchOver, set up your IFISA, transfer money to your account, invest in any Archover loan and start earning profit.
Ablrate is a business lending platform that brings lenders and borrowers to one platform and provides asset backed finance to a diverse range of businesses. Initially the platform was launched to service the aircraft leasing sector but it grew quickly and started a range of loans that use different assets as security. Albrate started offering their IFISA in August 2017. It offers a flexible IFISA account which means you can withdraw money from your accountant and put it back in the same tax year without affecting your annual allowance. The process of setting Up your IFISA is very easy: register yourself, make an account and transfer funds to lend to the borrowers and earn profit.
Crowdproperty was established in 2014 and quickly became the UK’s leading peer to peer platform. It facilitates millions of pounds worth loans to the small and medium enterprises and property businesses. The company offers an opportunity for investors to invest in bridging, auction, refurbishment and development loans. Crowdproperty offers you to invest in IFISA and earn upto 8% interest per annum. The process of registration is quick and easy. Once IFISA setup is completed you can pledge to get your IFISA funds working.
Property Partner is a property crowdfunding platform that supports property purchases and loan development bonds on residential houses, apartment blocks and commercial buildings. Property partners also offer IFISA investment. ThroughProperty Patner’s IFISA you can invest in property-backed loans and earn a tax free investment. You can choose your own investments and diversify your investment across multiple loans secured against property. The investments that are made through Property Partner ISA can give you a net return from 8 to 10%.
easyMoney is relatively a new platform with the aim that everybody gets a better return on your investment, through simple products that offer more value for less. Function wise, easyMoney is similar to Crowdproperty. The company raises money from individual investors and uses it to invest in bridging and property development loans. With easyMoney you can open an IFISA account and invest to lend money to property investors. These loans are secured against property. The company offers four different IFISA accounts which have different target interest rates.
LandlordInvest is an online platform for direct peer to peer lending. It matches professional landlords looking for financing with investors who want to invest in asset backed products with a monthly income. The company was founded in 2014 to resolve financing issues of landlords. It offers IFISA investment that is less vulnerable to stock market fluctuations. You can open an IFISA account for free and it takes only a few minutes. After making account deposit funds, choose loans to invest in and start earning profit.
Relendex is a peer to peer commercial real estate lending platform. This platform connects lenders with creditworthy borrowers providing excellent interest rates for both. All loans lent on Relendex are secured against the UK residential and commercial property. They offer two types of IFISAs. Each loan has a fixed interest rate and you can diversify your portfolio by lending on a variety of loans.