How To Lend Your SIPP Money On P2P Platforms

Join the ranks of those who are now lending their SIPP money on a range of peer-to-peer platforms.

It’s Back ~ Peer-To-Peer Lending From A SIPP

Since 2014, SIPPclub has helped many of its Members lend in excess of £20 million on crowdfunding and peer-to-peer platforms.  Much of this money has been invested from SIPPs, although last year, the majority of the investment was made from SSAS.

In the second part of 2016, the number of SIPP operators accepting peer-to-peer lending virtually closed as a result of changes imposed upon them by the Financial Conduct Authority.  The reasons for this were detailed in our article entitled What You Should Know About Peer-To-Peer In A SIPP.

At the end of 2017, a long-standing and well-respected SIPP and SSAS operator opened up its SIPP to 10 peer-to-peer platforms.  Money can be invested on the same platforms using its SSAS.

It’s currently undertaking due diligence on other peer-to-peer platforms.  Should they meet HMRC pension guidelines, they’ll be added to the suite, enabling you to diversify your money across a wider range of peer-to-peer platforms.

The annual cost of the SIPP is charged at 0.35 per cent of funds up to £500,000 and 0.25 per cent of funds thereafter.  There’s a minimum fee of £1,350 per year.  SIPP fees are subject to VAT.

In addition to a number of crowdfunding and peer-to-peer platforms, both its SIPP and SSAS allow you to invest in a wide range of stockmarket assets, deposit accounts, high interest loan notes, commercial property and other asset classes.

Talk To Us About Crowdfunding And Peer-To-Peer

If you'd like to know more about investing your SIPP or SSAS money into Crowdfunding or Peer-To-Peer, please complete the form below.

  • DD slash MM slash YYYY
  • Please tick all relevant boxes.
  • For example: Personal Pension with Legal & General; Final Salary Pension with British Telecom.
  • Typically, you'll need to have a fund value of at least £50,000 and better still, around £100,000 to cover the annual fees and to make it economic.
  • Please tick all relevant boxes.


investments

Popular Investments

If you’re looking to diversify your pension or other money beyond the stockmarket, or you want the best return on your deposit accounts with the highest level of consumer protection, here are popular investments chosen by SIPPclub Gold Members.



IMPORTANT NOTE: NOTHING FEATURED ON SIPPclub IS EITHER AN IMPLIED OR A SPECIFIC RECOMMENDATION TO MAKE, OR TO REFRAIN FROM MAKING A FINANCIAL DECISION.  THIS PAGE HAS NOT BEEN APPROVED AS A FINANCIAL PROMOTION.

If you request an introduction to a pension or investment provider, you explicitly accept SIPPclub's Terms, and you acknowledge this is neither an endorsement by SIPPclub, nor a recommendation to invest or not to invest.

As SIPPclub neither advises on, nor arranges, nor recommends specific investments or strategies, we're unable to say whether a SIPP or SSAS or any investment is right for you.  Ultimately, it’s your money and your decision, and you should only proceed once you're satisfied you've undertaken sufficient due diligence.  If you need advice, you should speak to your trusted adviser, or you could find a local adviser from Unbiased.co.uk.  Alternatively, we'd be pleased to introduce to a suitably qualified independent financial adviser.

Crowdfunding And Peer-To-Peer Risk Warning

When a platform has been assessed and approved by a SIPP or SSAS operator, this does not imply that any loan or investment opportunity is endorsed in any way. A SIPP or SSAS operator's due diligence review is limited to ensuring the processes and procedures of the platform are in line with both FCA and HMRC principles.  It's entirely your responsibility for carrying out your own due diligence on any loan or investment opportunity before agreeing to lend or invest your pension money on a platform. As a SIPP or SSAS operator will continually review platforms from a regulatory perspective, it's possible for a platform to become 'unapproved' if something changes.

With peer-to-peer lending, your capital is at risk if you lend to individuals and businesses.  You may lose some or all of the capital lent if the borrower defaults and is unable to meet its liabilities. Historic loan default rates are not necessarily indicative of future default rates.  In addition, lending is an illiquid investment, which means you may not be able to access the capital you lend for the duration of the loan period, even if the platform offers a secondary market.  Investing in any business involves risks, including illiquidity, lack of dividends, loss of investment and dilution, and it should be done only as part of a diversified portfolio. Crowdfunding is generally targeted at investors who are sufficiently sophisticated to understand the risks and make their own investment decisions, based on their knowledge, experience and financial capacity. Neither crowdfunding nor peer-to-peer lending is covered by the Financial Services Compensation Scheme. The tax treatment of your investment is dependent on your individual circumstances and may be subject to change in the future. If you are unsure about the suitability of crowdfunding investment or peer-to-peer lending, you should consult a suitably qualified independent financial adviser.