This week has seen two leading peer-to-peer lending platforms receive HMRC ISA plan manager approval, paving the way for two more Innovative Finance ISAs entering the market in 2017.
On Monday, the buy-to-let mortgage lending specialist Landbay announced that it had passed the 2nd step in regulatory proceedings allowing the P2P lender to offer the IFISA to its investors. Landbay was granted full FCA authorisation in December, making it a member of a niche, but growing, group of peer-to-peer platforms with full permissions – a necessity if a platform wishes to offer the IFISA.
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Landbay’s CEO, John Goodall, had this to say:
We are pleased to confirm that our application to become an ISA manager has been approved by the Board of HM Revenue and Customs.
With all the relevant regulatory pieces in place, we are one step closer to offering our investors the opportunity to lend on prime residential property in a tax-efficient manner. Our operations and technology teams are now focused on delivery of our Property-Backed ISA which we will launch next month. This is a fantastic opportunity for current and future investors both this tax year and beyond, with the ISA allowance rising to £20,000 in April and further in line with inflation in years to come.
Octopus Choice Receives HMRC Approval
Today, Octopus Choice, a recent entrant into the UK P2P market (early 2016 launch), announced that it’s also been approved as an ISA manager by the Board of HM Revenue and Customs (HMRC).
The product of Octopus Investments, the Choice platform has made waves in the P2P lending industry since inception, facilitating more than £45m worth of loans to asset-backed property borrowers, inside one year.
Read: ‘Octopus Choice Review: An Interview With Richard Wazacz’ (Sep ’16)
Head of Octopus Choice, Richard Wazacz, stated:
We’ll be releasing further details on our IFISA in due course, with a view to launching it later in the year.To begin with, our plan is to launch it for new subscriptions only, before opening up to ISA transfers afterwards.In the meantime, our primary focus is on giving the best possible service to the thousands of financial advisers and investors we’ve already attracted.