New A+ 3-Year Loan Offering – 8% Yield, Property-Backed

We are pleased to announce the launch of the latest loan from Secured against property, the loan is rated A+ by our credit committee, yields 8 per cent, and is for £150,000 over three years.

Below we offer an extended excerpt from the borrower’s representations seeking credit (which we have examined using our best efforts, but do not warrant to be true). The borrower’s payment history on previous loans has been exemplary. is the leading home buying company and one of the only genuine cash home buying companies in the UK. The company is owned and managed by property professionals with over 300 years’ combined experience in the residential property sector. WBAH is fully regulated by the Property Ombudsman, and a founding member of the National Association of Property Buyers. It is an award-winning business, ranking in the top 3 for YouGov’s “Top Brand Buzz 2019 Awards”.

Purpose of loan

The business continues to grow its revenue and is looking for support to help increase its stock of houses. Business Strategy WBAH assists home owners who are looking to achieve a quick sale on their property and typically offers 80% of market value. Importantly, it also offers to take on all ancillary costs associated with the sale. For houses with a £100,000 value, the amount of net cash received by sellers under a traditional sale process after all the ancillary fees including legal, survey and agent fees is expected to equate to close to £80,000. The average market value per unit for WBAH’s stock is £100,000. Once it has bought a house, it is remarketed at 95% of the market value and no work is done on any of the properties. WBAH has a strong expertise in valuing houses, which has been gained over the period that the company has been operating. The business is able to issue offers on properties on the same day of enquiry and exchange in as little as 48 hours. Given the volume of properties listed for sale by the company, WBAH is able to negotiate very low agent fees and thus maximise gross margin. WBAH’s average stock turn is 90 days.

Historical Performance And IFISA Process Guide

  • Money&Co. lenders have achieved an average return of more than 8 per cent gross (before we deduct our one per cent fee). 

That figure is the result of over £23 million of loans facilitated on the site, as we bring individuals looking for a good return on capital together with carefully vetted small companies seeking funds for growth. Bear in mind that lenders’ capital is at risk. Read warnings on site before committing capital.

  • Money&Co. has been lending for over 5 years and has facilitated over £23 million – with only two bad debts so far, representing a bad debt rate of 0.03 per cent per annum.

All loans on site are eligible to be held in a Money&Co. Innovative Finance Individual Savings Account (IFISA), up to the annual ISA limit of £20,000. Such loans offer lenders tax-free income. Our offering is an Innovative Finance ISA (IFISA) that can hold the peer-to-peer (P2P) business loans that Money&Co. facilitates. For the purposes of this article, the terms ISA and IFISA are interchangeable.

So here’s our guide to the process:

  • Step 1: Register as a lender. Go to the login page, and go through the process that the law requires us to effect. This means we have to do basic checks on you to comply with money-laundering and other security requirements.
  • Step 2: Put money into your account. This is best done by electronic transfer. We can also process paper cheques drawn in favour of Denmark Square Limited, the parent company of Money&Co.
  • Step 3: Buy loans in the loan market. Once you’ve put cash in your account it will sit there – and it won’t earn interest until you’ve bought a piece of a loan. It’s this final step that requires lenders and IFISA investors to be pro-active. Just choose some loans – all loans on the Money&Co. site can be held in an IFISA – and your money will start earning tax-free interest.

The ISA allowance for 2019/20 is unchanged from last tax year at £20,000, allowing a married couple to put £40,000 into a tax-free environment. Over three years, an investment of this scale in two Money&Co. Innovative Finance ISAs would generate £8,400 of income completely free of tax. We’re assuming a 7 per cent return, net of charges and free of tax here.

Once you have made your initial commitment, you might then consider diversifying – buying a spread of loans. To do this, you can go into the “loans for sale” market. All loans bought in this market also qualify for IFISA tax benefits.

Risk: Security, Access, Yield

Do consider not just the return, but the security and the ease of access to your investment. We write regularly about these three key factors. Here’s one of several earlier articles on security, access and yield.


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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.