How the ISA allowance works

Each tax year, the Government sets the annual subscription allowance for ISAs.

For the 2017/18 tax year you can invest a maximum of £20,000 in a LendingCrowd Innovative Finance ISA.

If you do not use your ISA allowance during the current tax year, it cannot be rolled over into the following tax year.

You have the freedom to use this annual ISA allowance across more than one kind of ISA in each tax year. As long as you do not exceed your annual allowance, you could subscribe to a Cash ISA, a Stocks & Shares ISA and an Innovative Finance ISA in the same tax year.

However, you can only invest in one ISA in each category each year. For example, if you invest in a LendingCrowd Innovative Finance ISA in 2016/17, you can not subscribe to another Innovative Finance ISA until 2017/18. This restriction only applies to new ISA funds. Provided your new ISA manager accepts transfers in, you can transfer ISAs opened in previous years. 

If you have any questions about your ISA subscription allowance contact our ISA team by calling 0345 564 1600 or emailing investor@lendingcrowd.com

Withdrawals: How this impacts your ISA allowance

It is also important to know how your ISA allowance can be impacted by withdrawals.

For non-Flexible ISAs your ISA allowance for the tax year cannot be recovered once it is used up.

However, Flexible ISAs – such as the ISAs LendingCrowd offer – allow you to reinvest capital after withdrawals have been made.

For example, if you have £20,000 in a LendingCrowd Innovative Finance ISA and you decided to withdraw £5,000 you could still reinvest up to £5,000 in the same tax year.