6 Reasons To Invest In Peer to Peer (P2P) Loans
- In a long term low interest rate environment, P2P loans offer investors attractive rates of fixed rate monthly income
- Circumvents traditional banking system, allowing investors to lend directly to borrowers
- Investors able to build a diversified income producing loan portfolio
- First £1,000 of P2P interest earned is tax free*
- Enjoy further tax free returns by investing through a personal pension (SIPP or SSAS) or the new Innovative Finance ISA (IFISA)
- P2P platforms are regulated by the Financial Conduct Authority (FCA).
6 Reasons To Invest in Secured Peer to Peer (P2P) loans
- Secured P2P loans are usually backed by a hard asset such as property, helps to protect from capital loss
- Should the borrower default, the property can be sold to repay the loan
- The maximum loan amount will be lower than the value of the security (the property)
- The borrowers equity in the property is a first loss buffer
- Properties, residential and commercial, earn rental income from tenants which in turn pays the lenders interest payments
- Secured P2P lending offers investors more attractive risk adjusted returns
And Finally – 6 Reasons to Invest in Secure Peer to Peer (P2P) Loans through Proplend
- All loans are secured by an income producing commercial property leased to long term tenants
- Investors can choose between three different Loan to Value (LTV) based risk levels
- Offers investors fixed rate returns from 5-12% per annum, with interest paid monthly
- Fully transparent, all loans come with detailed information pack, valuation and legal report helping investors make an informed decision
- Low risk, 4thWay rated Proplend loans 5/5 in their P2P platform PLUS Ratings
- No borrower late payments, loan defaults or investor losses
P2P platforms are not covered by the Financial Services Compensation Scheme (FSCS). Your capital is at risk.
(*base rate tax payers or £500 for higher rate tax payers)
