RateSetter opens transfers-in for IFISA

By Ryan Weeks on Wednesday 2 May 2018

Alternative Lending

Over £75m has been invested via the platform’s ISA since it launched a little under three months ago.

Leading peer-to-peer lender RateSetter has begun accepting transfers into its Innovative Finance ISA from existing Cash ISAs, Stocks & Shares ISAs and other IFISAs.

The platform’s IFISA has been open to new investors since early March, after initially launching for existing customers only in February.

Peer-to-peer lenders in the UK must be fully authorised in order to offer IFISA investments, and RateSetter had to wait longer than most for the all-clear from the regulator. It was finally granted full authorisation in October 2017, after nearly two years of waiting.

The platform’s ISA offers an average annual interest rate of 4.4 per cent. It is also a flexible ISA, meaning investors may withdraw funds and replace them later in the same tax year without voiding their tax-free allowance. The annual allowance is currently £20,000.

RateSetter has seen almost ten thousand investors lend well over £75m through its IFISA since it launched in February. Now, the platform will accept full and partial transfers into the product from existing ISAs, and there is no limit to the number of existing ISAs that may be transferred.

RateSetter provides a simple way for people to get more from their money – to date, more than 50,000 investors have earned returns of almost £100 million by lending with us,” said Rhydian Lewis (pictured, right), founder and CEO of the firm. “Our tax-free ISA makes investing even more rewarding and, following a very successful launch, people can now transfer ISAs into RateSetter from other providers and get their money working harder.”

RateSetter yesterday announced changes to its ‘rolling’ market, such that investors will no longer see their interest rates change on a monthly basis.


Sign up for our newsletters

Your daily 7am download of all things alternative finance and fintech.

Fintech and alternative finance headlines with an exclusive Editor's Note each week. Delivered Monday at midday.

AltFi's new weekly US newsletter breaking down the ins and outs of America's burgeoning fintech sector. Delivered Monday 9am EST/ 6am PST.