RateSetter has told investors that from the end of January 2021 it will no longer process new requests to transfer-in ISAs from other providers.
The peer-to-peer lending platform said from that point it will also no longer open new Innovative Finance ISA (IFISA) accounts for existing customers.
There are no changes to other RateSetter ISA investments, so existing lenders can continue to add to and manage their funds, including withdrawals and transfers out to other providers.
RateSetter said it will complete any in-bound ISA transfers which are already underway.
Following its acquisition by Metro Bank, the platform – which was once the UK’s largest IFISA provider – is closed to new investors while existing lenders can still add funds.
At the time, the platform said that going forward all new unsecured consumer loans would be funded by the bank, while the P2P portfolio would continue to be funded by existing P2P lenders and this can be done via the IFISA wrapper.
Last month, RateSetter said it will close its one-year market on 15 January 2021, following the sale of the platform’s £167m development finance portfolio for an undisclosed amount to Shawbrook Bank.
As part of the deal, RateSetter’s entire development finance team will move to the bank.