LENDINGCROWD has launched a summer-long cashback scheme designed to encourage more ISA transfers.
Until 31 August, the peer-to-peer platform is offering £50 to every investor who transfers at least £5,000 into a LendingCrowd Innovative Finance ISA (IFISA) from another ISA provider.
This offer is available to both new and existing account holders, and the £5,000 must remain in the account for 12 months before cashback is awarded.
“It’s simple to make the switch,” said a LendingCrowd spokesperson. “Just complete and return our ISA transfer form and we’ll take care of the rest, contacting your existing ISA manager and organising the transfer of funds. This process normally takes between 15 and 30 days, depending on the type of ISA you’re transferring to us.”
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LendingCrowd offers three different IFISA accounts. The Growth ISA targets returns of six per cent by investing in a diversified portfolio of business loans.
The Income ISA automatically transfers any interest earned into a separate account where regular payments can be withdrawn, while the capital repayments are reinvested automatically. It has target returns of 5.6 per cent.
The Self Select ISA allows investors to choose the individual loans that they want to invest in, with the possibility of earning between 5.95 per cent and 14.25 per cent in annual returns.
Investors can make either full or partial transfers from ISAs opened in previous tax years, and full transfers from ISAs opened in the current tax year.
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