E-Money Capital Ltd, trading as easyMoney, is authorised and regulated by the Financial Conduct Authority; our reference number is 231680
To become an easyMoney investor you will be required to sign up to our platform services via the 'registration' page. Click on the ‘Get started’ option in the main menu of our website.
As part of our due diligence process, you will be asked to provide us with some personal details and may need to provide forms of identification such as a valid driving license or passport.
The target return is the interest rate targetting to achieve on loans in a portfolio. There will typically be periods during which your money will be held in cash before we are able to fully allocate it to loans (known as "cash drag").
This can happen both when you invest initially and once a loan is repaid and we need to re-invest the proceeds. The actual rate of return will also be adversely affected if there are any defaults or if you have to pay tax on the interest you receive.
Any changes to the current target rates will be advertised on our website.
Your money enters a queue, with other P2P lenders, awaiting a match with P2P borrowers. We aim to invest your portfolio within 30 days, but this is not guaranteed. You will start earning interest as soon as each loan commences.
You can check the status of the loans and your cash position on your ‘My Portfolio’ page.
Your money may start off being lent against a single loan, but we try to diversify you across a number of loans as quickly as possible. The precise number of loans across which we will diversify your investment will depend on market conditions.
You can view the actual P2P loans and cash held in your portfolio at any time via the ‘My Portfolio’ page.
Interest is paid on the 15th of each month. You may choose to have the interest paid to your bank account, re-invested into new loans or simply left in your easyMoney account until such time as you decide what you wish to do with the proceeds.
easyMoney assesses each loan application made by a borrower on the basis of track record, credit-worthiness and the value of the assets used as security for the loan.
As experienced property lenders and real estate investors, we understand the property business and look at the fundamentals of the opportunity to assess the risks on a loan by loan basis.
Once we have a good understanding of the purpose of the loan application and how we will be repaid, we will undertake detailed due diligence on the company, its directors, and the asset used as security for the loan.
All valuations are generally undertaken by a Royal Institution of Chartered Surveyor’s (RICS) valuer. Valuations are the Valuer’s opinion of the value at date of the valuation.
On bridge loans, we lend a maximum of 75% of the value of a property.
On development loans, we lend a maximum of (1) 75% of the current value of the property, plus (2) 100% of construction costs. Total lending under (1) and (2) (including all interest, fees and other costs) is capped at 70% of the anticipated Gross Development Value (namely the price that the valuer anticipates the developed property will sell for).
You can request to sell some or all of your loans at any time, but the ability to sell is dependent on the availability of willing buyers and the loan must have a history of consistent performance with at least 3 months left on the loan term. If there are no willing buyers, you will have to wait for your repayment until the borrower repays or, in the event of default, that we conclude the recovery process.
Yes. Every loan on the easyMoney platform is secured with a legal charge on the property.
You can send a payment to us directly by telegraphic transfer, standing order or from your high street bank. Just quote our account details provided when you specify the amount you wish to invest and we will notify you when we have received the cleared funds and they are ready for investment.
Before you invest we encourage you to read through our ‘Understanding the Risks’ page on our website for more details on the risks involved in investing on the lending platform.
Yes, a tax statement will be e-mailed to all of our investors on the 6th of April each financial year. This will detail the total interest received over the course of the previous financial year. If you require a tax statement at any other time, please contact firstname.lastname@example.org
Any interest earned as a result of the invested loans (other than as a result of the IFISA), is regarded as income and could potentially be subjected to income tax.
However, under the recent Personal Savings Allowance (PSA) regulations, you can earn between £500 and £1000 tax-free per year. This is dependent on your tax status.
You are responsible for accounting to HMRC and DWP any tax that is due and including details of your earnings as part of your self-assessment tax return. The rate of tax will depend on your overall income. Please refer to the following link:
https://www.gov.uk/income-tax-rates/current-rates-and-allowances for the current income tax rates and https://www.gov.uk/apply-tax-free-interest-on-savings for current UK savings allowances.
Please speak to a tax adviser if you require information about the effect of taxation on your personal circumstances.
The Personal Savings Allowance permits you to earn a certain amount of income each year, tax-free.
How much tax relief you are entitled to depends on your individual circumstances and tax payer status.
For basic rate tax payers, who earn less than £43,000 per tax year, the entitlement is up to a maximum of £1000 per tax year.
For higher rate tax payers, who earn between £43,000 and £150,000 per tax year, the entitlement is up to a maximum of £500.
easyMoney will ascertain all the facts in relation to a missed payment, and proactively work with borrowers to bring the loan back to a performing status.
If the delay results in a non-payment of interest then easyMoney may, at its own discretion, continue to pay investors their due interest out of our own funds up to a maximum of 2 months.
A borrower may require some flexibility when repaying the loan. This could be as a result of a delay in selling the property.
In this event, easyMoney will review the facts and may, at its absolute discretion, extend the duration of the loan or if sufficient security is available enter into a new loan facility. In the event that neither of the above options is agreed and the borrower has missed two monthly payments, we will declare the loan as being in default.
If the borrower chooses to repay the loan early, easyMoney will return your investment with the outstanding interest owed to you.
We will then re-invest the proceeds into one or more new P2P loans on your behalf, unless you have indicated that you wish to withdraw the money.
Once the loan is invested, the borrowers will not be required to pay back the money before the end of the agreed term. If you wish to access your cash earlier, we will offer to sell your P2P loan to other lenders. You can ask us to do this at any time.
There is no guarantee that we will be able to find a new lender to buy your loan within a given time period, however, we would expect this to be completed within a reasonable time period.
In the event that there is insufficient demand, you may be required to wait until the loan is fully repaid.
If your portfolio contains any non-performing loans, or loans due to be redeemed within 3 months, we will not sell these until they have been fully redeemed, in order to protect other lenders from the increased risks of investing in these types of loans.
The maximum loan-to-value ratio (LTV) we permit on P2P loans is 75%. This means we would not lend more than £750,000 against a property valued at £1,000,000, leaving a margin of £250,000 to cover payments due to you, the costs associated with selling the property and any other outstanding liabilities.
The sale value will be the total amount owing to you at that point.