We believe in a fair exchange for our Borrowers and Lenders with both getting a great deal: a great interest rate for our Lenders and access to funding for our Borrowers.
Capital at risk. No FSCS.
Prior to lending into a FOLK2FOLK business loan please ensure you read our Terms & Conditions. Here are a few other things we think you should know:
Peer to peer lending is not covered by the Financial Services Compensation Scheme – what do we mean by that?
To be a FOLK2FOLK Lender you must be a UK tax resident. Learn more about tax and return.
If you need to exit your loan investment early you can offer it for sale to other FOLK2FOLK Lenders via our secondary market, but there is no guarantee of a sale.
There are no fees to enter into a peer to peer loan, but fees apply if you wish to exit your investment early or if you sign up for the IFISA tax wrapper. (Note: From 6th April 2019 there will be no fees to open an IFISA and no ongoing management fees.)
We aim to deliver an efficient, happy and stress-free lending experience. We try to do this by making everything simple and transparent and giving you answers as fast as we can. So as well as a great interest rate and the brilliant feeling you’ll get from helping local businesses, we hope you’ll also have a happier experience!
With our Innovative Finance ISA you could earn up to 9% p.a. interest tax-free (fees apply however, from 6th April 2019 there will be no fees to set up or manage our IFISA.)
We’ll contact you once you reach the top of our waiting list with lending opportunities.
We’ll only ask you for your funds once you’ve agreed to an investment opportunity (except ISA Lenders).
Support credit-worthy businesses while earning a great interest rate. As a FOLK2FOLK Lender you can specify your preferences for location, sector, term and interest rate and we’ll do our best to match them. We don’t give advice and you should contact an adviser if you require financial or tax advice when deciding whether a peer to peer loan is right for you as an investment.
|Interest Rate||Up to 9% p.a.|
|LTV% (Market Value)||Up to a maximum of 60%|
|Loan Term||6 months – 5 years|
|Talk to us|
By investing £20,000 or more via FOLK2FOLK, you become an important part or our Local Lending Movement; helping local, rural and entrepreneurial businesses access the funding they need to get off the ground, grow and develop. If you find that you need your investment funds back sooner than the end of the loan term you can offer all or part of your loan investment for sale to other FOLK2FOLK Lenders via our secondary market. Fees and conditions apply.
However, there’s no guarantee that anyone will buy your loan investment which means you’ll need to remain in the loan until the Borrower redeems.
Through FOLK2FOLK you’ll be helping to support local, rural and entrepreneurial businesses from farmers, property renovators, developers, country hotels and pubs, right through to manufacturing businesses, yoga studios and cafés. You’ll be providing the finance to start or grow businesses, buy assets or boost working capital.
We’re choosy but fair and turn down Borrowers who don’t meet our criteria. Our credit assessment process includes undertaking credit reference checks, due diligence, checking asset ownership and often holding a personal meeting prior to loan approval.
It’s important, however, that you do your own due diligence and don’t rely solely on FOLK2FOLK’s review when deciding to invest into a loan on the FOLK2FOLK platform.
We will send you a regular newsletter featuring our latest blog posts, news and events.Sign up for our newsletter
Your capital is at risk and is not protected under the Financial Services Compensation Scheme. FOLK2FOLK Limited (Company Registration No. 08178576) is authorised and regulated by the Financial Conduct Authority (FRN 720867). Our registered office address is NUMBER ONE Business Centre, Western Road, Launceston, Cornwall, PL15 7FJ.
Your property against which the loan is secured could be at risk if you don’t meet payments. FOLK2FOLK Limited (Company Registration No. 08178576) is authorised and regulated by the Financial Conduct Authority (FRN 720867). Our registered office address is NUMBER ONE Business Centre, Western Road, Launceston, Cornwall, PL15 7FJ.