At the beginning of February 2017, Lending Works was the first of the major peer-to-peer platforms to launch an innovative finance ISA (IFISA), after finally obtaining regulatory approval in October 2015.
The company confirmed to us that the new IFISA hit its £1 million limit within just 24 hours of its launch, adding:
“Such was the emphatic response from lenders, that we actually received more than £2 million within the 24 hours after we launched the ISA – including ISA transfers.”
Read on to take a closer look at the Lending Works innovative finance ISA, and at the company itself.
Lending Works ISA Overview
Ex-banker Nicholas Harding and ex-accountant Matthew Powell founded Lending Works in 2012, and officially launched it in 2014; they are CEO and Chief Financial Officer respectively.
The company was launched on the premise of connecting the buyer and seller together, with as few people as possible taking a slice along the way. The firm is emphatic in declaring its inspiration took root in the “fair trade movement, and how connecting people directly via the internet had already transformed other industries”.
We’ve listed some company facts and achievements to give you an idea of the kind of company you could be doing business with:
- Lending Works was the first platform globally to have offered insurance protection for consumer lenders against default risk
- At the 2016 Moneywise Customer Service Awards, Lending Works won the ‘Best Peer-to-Peer Platform for Savers’ award, and was highly commended in the ‘Most Trusted Personal Loan Provider’ and the ‘Most Trusted Peer-to-Peer Platform’ categories
- It was already highly commended in the ‘Most Trusted Personal Loan Provider’ category in 2015
- Comparison site 4thWay declared Lending Works the only peer-to-peer platform to have gained its highest score of five PLUSes on the entirety of its lending products (as of February 2017). This meant the site forecast that it would take no more than two years to recoup losses through interest earned during a major recession – if any money was lost at all
- In May 2015, Lending Works was listed in Startups 100, an index recognising the success and promise of privately-owned UK startup businesses
- Matthew Powell was nominated, and shortlisted for the Real Business’ 2015 FDs Excellence awards
- In October 2015, Lending Works partnered with point-of-sale credit provider Pay4Later, further extending its client reach
- As recently as March 2017, Lending works partnered with digital only challenger bank Revolut to provide instant credit via the Revolut app, once again, innovating through technology, and cutting out intermediaries entirely
- Lending Works joined the Peer-to-Peer Finance Association (P2PFA) in September 2014. The P2PFA is the industry body for peer-to-peer lending platforms, created to set and maintain high standards of industry conduct
- In 2014, the company was a founder of Innovate Finance, a non-profit fintech industry body. The membership organisation was created to support and accelerate UK financial services by backing technological growth from financial services pioneers
- As at 8 March 2017, Lending Works has provided 8,323 loans for an average loan term of 38 months, and an average loan size of £5,752
Updated: Thursday, November 1st, 2018