"It is great to see so many customers choosing Lending Works by transferring their ISA from many banks and investment managers."
A new Infographic from UK peer to peer lender Lending Works has revealed that almost £9 million has been invested in its new Innovative Finance ISA since its launch on the 8th February 2017.
Lending works are the third largest peer-to-peer lending platform in the UK and became the first member of the industry body Peer-to-Peer Finance Association to launch its ISA just three months ago.
The Innovative Finance ISA (IFISA) has been included as an ISA category since the 6th April 2016 and is fully authorised by the Financial Conduct Authority.
In just under 2 months from the date of launch, the Lending Works ISA has attracted £8.8 million worth of investment from eager subscribers. The company also expects volumes to increase significantly now that the annual ISA allowance has increased to £20,000.
Potential investors can benefit from:
· Market leading rates of between 3.5% and 4.4%
· Insurance-backed protection from the unique ‘Lending Works Shield’
· 24/7 online money management
· Quick and easy setup
Nick Harding, founding CEO of Lending Works, commented:
“It has been very encouraging to see lenders choosing to use Lending Works over the myriad of other investments available to them this ISA season. Take-up has been stronger than expected, particularly given that we have not even started advertising the product to new customers yet. Many of our lenders are vastly experienced, savvy investors, and to have them voting so emphatically with their feet in favour of the Lending Works ISA tells us that a very bright future lies ahead for peer-to-peer lending and ISAs.”
Lending Works have produced an infographic outlining their recent success, which you can explore here.
Early trends provide interesting insights
Early trends revealed by Lending Works have shown that, while 62% of investments into its new Innovative ISA have come from new subscriptions, the rest have come from already existing ISAs, adding even more weight and credibility to the Lending Works offering.
CEO Nick Harding again commented:
“For us, it is intriguing that a high proportion of incoming ISA funds have come from other, pre-existing ISAs, which we believe provides further vindication that our sector provides a viable and beneficial alternative in terms of risk and reward. It is great to see so many customers choosing Lending Works by transferring their ISA from many banks and investment managers.”
Significant over 50s investment
Another notable trend is that nearly a quarter of the funds invested so far have come from those who are aged 65 and over. Perhaps even more surprising is that almost three quarters have come from those aged 50 and over.
Clearly, then, the Lending Works Innovative Finance ISA is not just for new and young ISA investors. No, it is also attracting seasoned and experienced investors too.
Lending Works launched in January 2014 to provide UK customers with a safe, flexible and transparent way to lend and borrow money. The company currently facilitates over £4.5 million in loans per month between lenders and borrowers around the UK and, as at April 2017, has lent around £50 million.