Assetz Capital has seen a huge spike in Innovative Finance ISA (IFISA) transfer-ins from RateSetter investors.
The peer-to-peer lending platform told Peer2Peer Finance News that as of 10 February, RateSetter transfer-ins had risen to 46 per cent of total transfers-in, up from 14 per cent of total transfers-in 20 days previously.
Last month, the platform said it had seen £9.95m in inflows since the start of the 2020/2021 tax year and had £98.1m in its IFISA accounts in total, as of 15 February.
After eyeing £100m in IFISA money in February, Stuart Law (pictured), chief executive of Assetz Capital, highlighted that the platform can now only currently accept north of £50m in IFISA inflows, so it will be able to process many transfer-ins from RateSetter investors but not all of them.
He said the platform may have to shut its doors to new retail investment and implement a queuing system, to prevent lenders transferring funds that the platform would not be able to deploy immediately.
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“We’ll definitely be promoting our IFISA and have a big open door for RateSetter investors, we have limited capability but it’s a big number,” he said.
“We can’t accept them all overnight, it’s first come first served, a reasonable investment from lenders who can immediately invest their cash but not all of them.
“The savvy ones reading Peer2Peer Finance News will get in there first rather than join a queue like Zopa has. At some point we will have to shut the door to new sign-ups.”