Peer-to-peer lending platforms are promoting their Innovative Finance ISAs (IFISAs) ahead of an expected economic boom, post-Covid.
Crowd2Fund has forecasted a a post-lockdown boom in business due to alternative revenue streams, pent-up demand and an end to Brexit uncertainty.
“Now’s the time to act to ready your finances,” Crowd2Fund said in a blog on its website.
“Complete your full IFISA subscription before 6 April and you’ll also be able to make the most of higher interest rates currently offered on our platform due to the revenue loans – preferable because of the less predictable trading patterns during Covid-19 which are soon to end.”
Crowd2Fund added that its exchange will open before the end of this tax year, allowing investors to access new loans quickly.
“We predict, alongside many economic authorities, that the UK will see significant economic growth over the summer of 2021,” added the blog.
“Smart investors will be preparing their finances to grow in line with what many are saying will be one of the largest expansions of the economy for decades. We believe the predicted growth will happen for a number of reasons.
“This does of course assume that there will be a successful easing of the lockdown and a continued, successful rollout of the vaccine programme with no unforeseen issues.”
Stuart Law, chief executive of Assetz Capital, agreed that economic growth is on the horizon.
“The housing market is also a little bit of a leading indicator this time as well that the economy is going to be red hot in a year or so’s time,” he said.
“We can see that the amount of money that’s going to go into the economy is going to catapult us out of this recession. People have been waiting for a cycle. And there we are today, we have the evidence. The company is strong and getting stronger. Our IFISA has performed well and nobody has really on a net basis taken any money out.
“We’re now in a place where we welcome the long upward hill of the next boom.
“I genuinely believe the UK economy is looking at another five to 10-year growth period, and it’s already started.”