Who can open an IFISA?

You must be 18 or over, a resident in the UK or a Crown servant (e.g. diplomatic or overseas civil service) or their spouse or civil partner if you do not live in the UK. You cannot hold an IF ISA with or on behalf of someone else.

Can an IFISA be held with more than one provider?

Yes, but it is more complex due to the ‘one of each type’ rule. There are three ways to open more than one IF ISA:

Every tax year the IF ISA provider can be changed so there are multiple IF ISAs with multiple providers. This requires opening a new IF ISA each year with different providers.
Investors can transfer funds between ISA managers. This is especially useful if there are funds subscribed to ISAs in previous years that investors want to invest in direct lending. Investors can transfer funds to more than one IF ISA provider. Initially, HMRC drafted the regulations so that only direct lending providers could be IFISA managers. Goji successfully campaigned to change these rules though so that third party ISA managers, such as investment platforms and Goji, could be ISA managers and enable investors to diversify their ISAs.

What is the difference between a cash ISA, a stocks and shares ISA and an Innovative Finance ISA?

Interest paid on a cash ISA is tax free and is suitable for short term savings – less than 5 years. Interest is received on the savings at a fixed variable rate.

A stocks and shares ISA is a tax-efficient way to invest in shares and securities for five years or more, and when you want to share in the potential growth in stock markets.

The Innovative Finance ISA provides savers using Direct Lending platforms to receive tax-free interest. Direct Lending is when individuals lend to borrowers, usually through an online platform.

What is the Innovative Finance ISA?

The IF ISA allows individuals to use their annual ISA allowance to lend funds through investments such as loan based crowdfunding or Direct Lending and crowdfunded debt securities (like Goji).

Who do I contact if I have a complaint?

Please contact our customer services team at [email protected] So that we can investigate your complaint fully, please include the following information: your full name and address, your investment details, what has happened / gone wrong, and how you would like us to put it right. A member of the team will acknowledge receipt of your email and will investigate the matter thoroughly before responding fully within 3 working days.

Alternatively, you may contact us on 020 3865 5243 or use the instant message function on our goji.investments website.

What happens if Goji ceases trading?

Goji has two primary provisions in place to ensure that should Goji cease trading investors funds are safe. The first provision is a Living Will (the existence of a third party who will manage Goji’s remaining client positions) and secondly investors assets are held within bankruptcy remote vehicles and third parties so that, even if Goji fails, there are providers in place to protect investors funds. These two provisions ensure client funds are returned in an orderly fashion as underlying loans are repaid.

Is this investment protected under the Financial Services Compensation Scheme?

Your investment into Goji’s Bonds does not qualify for capital protection under the FSCS such as that offered by UK banks up to a limit of £85,000.

However, deposit protection does apply to cash held by Goji and underlying lending platforms when funds are held within segregated client money accounts. This would occur when your money is transferred to us to make an investment and when interest payments and the repayment of your capital are being made to you. While the money is in the Client Account (which is likely to be a short period) it is protected by the FSCS deposit protection, which is currently £85,000 per person.

There may be limited circumstances in which there may be a claim against Sapia Partners LLP if it is in default of a legally enforceable obligation to you (either direct or through Goji as its Appointed Representative of up to £50,000). This is unlikely to affect significantly the risk that you assume in investing in Goji Investments, which are unsecured obligations of Goji Nominees Limited.

How are investments protected?

Goji has reviewed the majority of the Direct Lending platforms within the UK. We have carefully selected and then rigorously assessed a number of them and we only work with a select number of them that meet our strict criteria.

Lending platforms are only approved if they demonstrate a track record of appropriately sourcing and pricing credit investment opportunities and have solid risk management in place. We conduct our own assessments on each platform we invest through, giving our clients comfort that their investments are well placed.

Are there any other fees, charges or deductions?

Goji will take no fees or make any deductions or charges of any kind on the interest paid by the Goji Diversified Lending Bond. However, HMRC requires Goji retains a 20% withholding tax for a UK taxpayer, which will be paid out of your investment and on your behalf to HMRC. If you are not a UK taxpayer, please inform Goji and your records will be updated to reflect this.