Make Your Money Work: Our Simple Guide To How To ‘Do’ An ISA

Piggy Brit Bank

A new loan offer is due on site soon. Strong lender interest has seen excellent progress on the two current offerings, one of which is 96 per cent filled at the time of writing, and will close tomorrow.

Ahead of the arrival of the new offering, we thought we’d take the opportunity to further explain to lenders how the Individual Savings Account (ISA) process works. All Money&Co. loan offers on site are available to be held in an Innovative Finance ISA. That means all income generated from the loans can be enjoyed tax-free.

But there seems to be a disconnect somewhere. We have had a significant amount of incoming transfers from low-yielding Cash ISAs and other ISAs. What happens on transfer is that the cash is cleared and sits in a registered user’s account. Until that cash is committed to one of Money&Co.’s carefully vetted loans, it does not earn interest. We have a fair amount of cash sitting in users’ accounts, not being productively deployed.


How do you “do” an ISA with us?

It’s a two step-process: 

  1. You open an account and put money into it (new cash or a transfer from an existing ISA)
  2. You then bid for and buy a part of a loan to collect your tax-free interest

We’ll be emailing registered lenders and returning to this important topic several times in the future.


Money&Co. P2P loan performance

Money&Co. is in the P2P business-lending sub-sector of crowdfunding. And is part of the fast-growing trend in crowdfunding loans. Money&Co. lenders have achieved returns of almost 9 per cent – before deduction of our one per cent fee – in the three years and nearly £10 million of loans facilitated on our platform.

In addition to new loan offerings, our secondary loan market, offering existing loans for sale by lenders, is available to registered Money&Co. users. All loans can be held, tax-free, in an Innovative Finance Individual Savings Account, or Innovative Finance ISA.


If you haven’t made a loan via Money&Co. before, please read the risk warnings and the FAQ section. You may also wish to consult a financial adviser before making an investment. Capital is at risk, once loaned.


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Disclaimer: Money&Co.™ is the trading name of Denmark Square Limited, Company Number 08561817, registered in England & Wales, authorised and regulated by the Financial Conduct Authority (FCA). The company is identified on the Financial Services Register under Reference Number 727325. The registered office is 58 Glentham Road, Barnes, London, SW13 9JJ where the register of Directors may be inspected. Denmark Square Limited (ISA manager reference number Z1932) manages the Money&Co. Innovative Finance ISA.