Innovative Finance ISA

Earn 6.5% p.a. tax-free while giving British businesses a boost

Enjoy tax free lending via the FOLK2FOLK IFISA. The Innovative Finance ISA (IFISA) enables you to use your annual Individual Savings Account (ISA) allowance to earn tax-free returns from Peer-to-Peer lending.

Why invest in the FOLK2FOLK IFISA?

  • ​Receive monthly tax-free interest of 5.5% p.a. or 6.5% p.a.
  • Invest your full 2017/2018 ISA allowance of £20,000
  • Secured against UK property
  • Support local businesses, nationally
  • Online Lender Portal enables you to access your investment information whenever suits you

Risk warning:

  • Peer-to-peer lending is not covered by the Financial Services Compensation Scheme (FSCS)
  • With peer-to-peer lending your capital is at risk if the borrower is unable to repay the loan
    Read more about how we manage risk

How to invest in a FOLK2FOLK IFISA

​The FOLK2FOLK IFISA will initially be made available to existing customers only, with pre-registered IFISA customers offered an IFISA account first. Existing customers can email to apply for an IFISA.

If you are not currently a FOLK2FOLK customer:

Please note:

  • Transfers in from external ISAs will be available shortly. Lenders will be notified once this is available.
  • Your investment will be matched on a first-come-first-served basis based via our lending queue.


​​1% Annual Administration Fee + VAT will apply.  This will be collected by Direct Debit from your specified account. 

​​Tax overview of FOLK2FOLK IFISA

  • Take a look at our Income after Tax and Fees table to understand the implications for different tax brackets and the impact of fees.
  • Please note that FOLK2FOLK cannot give tax advice and you should seek tax advice if required.
  • Tax treatment depends on the individual circumstances of each client and may be subject to change in future. 


For further information about lending via the FOLK2FOLK platform and our IFISA, download our Lender Guide.​ For full details please refer to our Terms & Conditions




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    "Sharp & Tappin is a precision engineering company and has been going for 11 years. The business has two parts: one is onboard cameras for ships and the other is composite blade saws...
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    "I started my working life as a pilot in the Royal Air Force and after a 10 year commission I went to work in a building society which had a business arrangement with Parnalls solicitors who...
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    "In 2009, I, together with my husband Robert and daughter Robyn, bought a pub which I had previously owned with my husband and sister in law and brother in law and sold in 2001. Since then it...
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    Originally I was a farmer, but after Foot and Mouth affected us we had to diversify and Folk2Folk have enabled me to do this.  

    I have borrowed money through Folk2Folk since they began and...
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