In short, Funding Circle is not in trouble.
Is Funding Circle servicing fee tax deductible?
Returns from lending at Funding Circle are paid without any tax being deducted. If you are lending as an individual you should declare any interest and gains to HM Revenue & Customs (HMRC) on a self-assessment tax return or inform your local tax office.
How long has Funding Circle been in business?
2010
Since 2010, Funding Circle has helped businesses in over 700 industries access the capital they need.
What fees does Funding Circle charge?
What fees do you charge? Funding Circle charges a 1.00% servicing fee, which is applied as a 1/12th of 1% (0.083%) monthly fee on the unpaid principal balance of outstanding loans. This fee is assessed by Funding Circle Notes Program and is deducted from borrower payments on the loans underlying your Notes.
Is Funding Circle covered by FSCS?
Funding Circle is not covered by the Financial Services Compensation Scheme.
Who runs Funding Circle?
Samir founded and is CEO of Funding Circle which launched in 2010. Funding Circle is a global lending platform where investors lend directly to small businesses in the UK, US, Germany and the Netherlands. Funding Circle has originated £11.5 billion+ of loans to 100,000+ businesses creating an estimated 135,000 jobs.
Is P2P tax-free?
P2P lending and tax Money earned through P2P lending is usually classed as income, which means it is taxable. Most won’t pay any tax at all because of the personal savings allowance.
How does the Funding Circle make their money?
Funding Circle collects repayments from businesses and credits the funds to your Notes. When businesses are late or unable to fully repay their loan, our collections and recoveries team will work to recover as much as possible for you.
What are the risks of Funding Circle?
Risks associated with investing in Funding Circle
- Delinquency and default – sometimes the business may miss a payment or not pay the loan entirely despite Funding Circle’s rigorous assessment.
- Interest risk – Funding Circle allows early repayment of the loans and does not charge borrowers for that.
Where can I Find my Funding Circle transaction statement?
Funding Circle make available to all investors Transaction Statements and an Annual Tax Statement, splitting out the relevant amounts for your tax return. Each is available for download in the My Statements section of My Account. Please note, we are unable to provide any further information about tax other than what is provided in our tax section.
When do you pay tax on interest from Funding Circle?
From 6 April 2016, the first £1,000 of interest for basic rate taxpayers and the first £500 of interest for higher rate taxpayers will be free of income tax. This applies to interest earned through Funding Circle as well as through other traditional savings accounts.
How is Funding Circle regulated by the FSA?
Investment through Funding Circle involves lending to small and medium sized businesses, so your investment can go down as well as up. Funding Circle Limited is authorised and regulated by the Financial Conduct Authority under firm registration number 722513. Funding Circle is not covered by the Financial Services Compensation Scheme.
Where is Funding Circle registered in the UK?
Funding Circle Limited is authorised and regulated by the Financial Conduct Authority under firm registration number 722513. Funding Circle is not covered by the Financial Services Compensation Scheme. Registered in England (Co. No. 06968588) with registered office at 71 Queen Victoria Street, London, EC4V 4AY. Legal Security Legal notice
