Frequently Asked


If there’s a question that’s not answered, contact us and we’ll get back to you asap!

1. Do Sourced have experience in Property?

Yes. The team at Sourced have over 100 years combined experience in the property sector. This experience includes property investment, property development and property sourcing across the UK.

2. Is my money at risk when investing on the platform?

Yes. Like any other investment, your capital is at risk, which means that any investment you make on the platform carry’s the risk that it could be lost and never be repaid to you. To reduce the risk of your investment, each loan opportunity and borrower application is carefully vetted and will go through a thorough due diligence process. There are strict lending criteria in place and your investment will always be secured against an underlying property asset. You are advised to read our Risk Statement and review the loan opportunity thoroughly before deciding to invest.

3. What is the average return paid to investors?

There will be a variety of loan opportunities that you can lend towards. We expect the return rates available to you will range from 6-12% per annum. Returns are not guaranteed and your capital is at risk.

4. How often do I receive my returns from my investment?

Interest on your loan investment will be paid at the end of the loan term after the borrower of your money has repaid amounts due. Interest will be paid electronically direct to your online wallet and you will receive notifications when this has been done.

5. Can I invest using different currencies?

Yes. The platform allows you to invest using a variety of currencies and join investors from across the globe. Please be aware that all loan opportunities are listed and administered in Sterling (GBP) and you will be responsible for any foreign currency exchange differences, charges and local tax requirements.

6. Can I choose what interest is charged on my investment?

No. As part of the services we offer we will broker the interest that is eventually charged to the end borrower of your money. You will however be able to select the projects that you wish to invest in, depending on the project you choose, the rate will be fixed at the rate shown on the project. All borrower applications are different and will be reviewed on a case-by-case basis, with a view to lending your money in a profitable and sustainable manner.

7. Is my investment secured?

Yes. All loan investments are property related and will be secured with a first legal charge over the property in question. In the event of a borrower default, there is a risk that the amount you have lent is not fully recovered by the security in place.

8. Are there any restrictions on who can invest?

Yes. The platform has been created for Sophisticated and High Net Worth (HNW) investors and is for private members only. If you want to become an investor you must pass an accreditation process that includes: an appropriateness test, ID verification and confirmation that you understand the risks involved. Finally, all investors must be 18 years of age and over.

9. I am not a UK resident, can I invest?

Yes. You will still have to pass the same investor accreditation process as all other investors, but your location will not impact your ability to invest.

10. Is the return guaranteed?

No. The return on your investment is directly linked to the borrower of your money repaying what has been lent on time. There are a number of situations when this may not happen, for example, if a borrower was to go out of business. In this instance the security used against the property would be used to recover the maximum amount achievable, less any costs, to repay what is owed to investors. You should be aware that there are many factors that can impact the recoverability of the maximum security amount, including market fluctuations and general economic factors. For this reason, each loan application will be assessed on a maximum Loan to Gross Development Value

11.What is the minimum amount I can invest?

The minimum investment amount is currently £250. Please read the Risk Warning carefully on the platform and if you cannot afford to lose your investment, you should not invest.

12. How will my investment be used?

That depends. Each loan opportunity will be different although they will all be property related. The loan will be used by the borrower for the reasons stated in the loan opportunity. For example, one loan may be used to fund a Below Market Value property purchase whereas another may be used for a property conversion project.

13. Why is the platform designed for High Net Worth (HNW) and Sophisticated investors?

We aim to protect lenders and treat all of our customers fairly. Because of this the platform has been designed for High Net Worth (HNW) and Sophisticated investors who are better placed to understand the risks involved with this type of lending.

14. Will I earn interest when my money is held in your client account?

No. All interest earnt on our client account belongs to Sourced.

15. Are Sourced regulated?

Yes. Sourced is an Appointed Representative (ref no. 826510) of Ltd, a firm authorised and regulated by the Financial Conduct Authority (FCA) under firm registration number 656344.

16. Will I be able to monitor my investment?

Yes. Every investment you make will be visible using your online investment dashboard through the platform. You will be able to see what you have invested in, as well as the performance of your investments to date.

17. Can I take back my investment at any time?

No, not unless you are still within the statutory 14-day Cooling-Off period applies, if you choose to withdraw from an investment within this period your funds will be returned. However, after this period once you have committed funds to an investment they cannot be returned.

18. How quickly will I see a return on my investment?

Interest on your loan investment will be paid at the end of the loan term after the borrow of your money has repaid the amounts due.

19. What returns can I expect?

That depends. Typically, you can expect to earn between 6-12% interest per annum on your loan investment. The rate of return will depend on a number of factors, including the type of scheme the loan is being used for and the risks involved. All expected returns will be clearly stated on each loan opportunity.

20. Is the interest that I earn taxed?

No. The interest you earn is paid gross of tax, which means you are responsible for declaring this income and your own tax affairs. We advise you to seek independent professional advice on how to do this if you are unsure.

21. What process do you have if I pass away during the investment term?

In this circumstance your investment would remain intact and will be administered in accordance with your original agreement. However, we do request the executor of your estate contact us to discuss this process in more detail.

22. Is my credit file viewed as part of the sign-up process?

No. As part of your registration with the platform we require you to undertake certain accreditation steps. One such step involves us verifying who you are, which involves us checking your ID and Proof of Address against national and international databases. We are also required by law to ensure you are not on any Politically Exposed Persons (PEP) or Sanctions lists. We used a third-party provider for these checks, and at no time do we view your credit file. We do save a record of all the checks we make, and this information is processed under General Data Protection Regulation (GDPR).

23. Where is my money held once I invest?

All unallocated money you invest is deposited in to a segregated client account and is held on trust by Barclays Bank Plc and managed by our regulatory principal, Ltd.

Funds held are not covered by the Financial Services Compensation Scheme.

24. Is investing in a development opportunity different to a buy to let?

Yes. Each loan opportunity will be different although they will all be property related. Some loans will be more straightforward than others and will offer different risks. The particulars of each loan will be clearly detailed in each loan offering, and you must ensure you read and have fully understood the details before deciding to invest. We always advise that you undertake your own due diligence on any investment you make.

25. Is there plans to add a secondary market?

No. There are currently no plans for a secondary market on the platform and as such you cannot divest from an investment early. Loan terms vary from 6-24 months and you should be prepared to have your funds committed for the duartion of the loan term.

26. How do I make a complaint?

If you would like to make a complaint, please send us an email to In your email, please provide us with as much detail as possible regarding your complaint, and the relevant transaction that the complaint relates to. Alternatively, you can also submit your complaint via telephone or by post. You can find our contact details under the Contact Us menu of the website.

We will respond to confirm acknowledgement of all complaints within 72 working hours. If it has been possible for us to resolve the complaint to your satisfaction, a Summary Resolution will be sent within 3 days confirming how it was resolved. If we have been unable to resolve within 3 days, then the complaint will be referred to the Compliance Department of who will carry out an independent investigation and communicate the outcome to the client. You will be updated within 4 weeks following a full review.

You can view our full complaints policy here.

27. How does Sourced make its fees?

We act as a credit broker through the platform by matching and introducing borrowers and investors. As part of our services we also administer your loan investment, which includes facilitating payments, collecting payments due and onward distribution of funds to you. For these services we charge the borrower certain fixed and variable fees.

28. What happens if Sourced Capital Fails?

Sourced Capital have a Wind Down and Business Continuity Policy with Rebuilding Society (


1. What is an IFISA

An Innovative Finance ISA is a type of account which allows tax-free interest on peer-to-peer loans. It’s subject to the same rules on eligibility and limits as other types of ISA. We have added IFISA-specific provisions to our Terms and Conditions (Sections 40 through to 48); please read these here. Please be aware that tax treatment depends on the individual circumstances of each client and may be subject to change in future. Please seek professional advice if necessary.

2. How does Sourced Capital manage my IFISA?

Your IFISA works very much like a normal Sourced Capital lending account. Once you have added funds to your Sourced Capital IFISA account, you will be able to individually select the microloans you want in your portfolioYou can start lending with your IFISA account with as little as £250. You will have a normal account alongside your IFISA account; this will collect any surplus balance should you credit an amount exceeding the maximum annual subscription. As Sourced’s regulatory principal, Ltd are also the ISA Manager for Sourced’s ISA investments.

3. Can I transfer an existing ISA to Sourced Capital?

Yes. Just use the Transfer in widget as part of the account opening process. See Section 45 of the Terms and Conditions for further information regarding the transfer in of your IFISA.

4. If I transfer an IFISA, will it maintain tax efficiencies?

Yes, if you make a provider-to-provider transfer to ensure your ISA maintains its tax-free status.

5. How do I transfer out of Sourced Capital?

Please ask your new IFISA provider to email the Transfer Authority Form to See Section 47 of the Terms and Conditions for further information regarding the transfer out of your IFISA. Before being able to transfer your IFISA, you must divest from any loans you currently hold on your IFISA account, via the secondary marketplace. You should be aware that the secondary market is driven by supply and demand and we cannot guarantee a time frame in which your parts will be sold or whether all of your loans will be bought. Selling at a premium or discount on the secondary market may affect the rate at which parts are bought by other lenders.

6. Can I lend more than the ISA limit with Sourced Capital?

Yes, you can lend as much as you want with Sourced Capital, but you must adhere to the ISA allowance within the IFISA to qualify for tax-free interest. If you have subscribed to the maximum amount in your Sourced Capital Innovative Finance ISA (£20,000 for the 2019/2020 tax year) and you want to lend more, you can do so through a normal Sourced Capital account, which is set up automatically when your account is opened. Once you reach your IFISA limit for the prescribed tax year, any further funds lent will automatically be assigned to a standard Sourced Capital account.

7.How much is the ISA allowance?

For the 2019/2020 tax year, the maximum is £20,000.

8. What happens if I pay too much into my ISA?

We’ll prevent you lending more than the ISA allowance for each tax year. However, if you have more than one ISA provider, it is up to you to make sure you don’t exceed the ISA allowance across all your accounts. As an ISA Manager, we are obliged to provide regular reports to HMRC; as such, if you do exceed the total allowance, HMRC will notify you and your ISA provider of any corrective action.

9. If a loan defaults in this tax year, but isn't recovered until the next tax year, does the recovery count towards my annual allowance?

No, it doesn’t. If a loan defaults in one tax year but is recovered in another, it simply adds back in to your IFISA balance. However, if you close your IFISA or transfer it to another provider then we’ll need to pay the money into a non-ISA account so those funds will lose their ISA status.

10. Can I transfer my Sourced Capital IFISA to a new provider if some of my loans are in default?

We can’t transfer any loans in default or arrears so they will need to stay in your IFISA account. If you’re transferring an ISA you opened in the current tax year, you must transfer as much as possible. We’ll then move any loans in default or arrears into a non-ISA Sourced Capital account while we work on recovery.

11. Is there any risk involved?

By using an IFISA, you are lending to businesses. There is a risk that these businesses will default on the arrangement. If this happens, we will try and recover your funds for you; however, if we are unsuccessful, you will lose your capital. Please read about the risks involved before lending to any business. More details on the risks involved can be found at

12. Can I make a monthly transfer into my ISA?

Yes. Simply set up a Standing Order from your bank to pay into your Sourced Capital Innovative Finance ISA on a regular basis using the reference number provided.

13. What are the fees?

We do not charge any fees to open an IFISA account.

14. Can I have more than one Innovative Finance ISA?

You may only use one Innovative Finance ISA in any single tax year. This means you could open one Innovative Finance ISA this year and in future years open additional Innovative Finance ISAs.

15. How many ISAs can I have?

In a single tax year, you can open and use one Cash ISA, one Stocks & Shares ISA and one Innovative Finance ISA. The total you pay in must not exceed £20,000 for 2020/2021.

16. Who can have an Innovative Finance ISA?

Anyone who is at least 18 years old and is a resident in the UK. You can also apply if you’re a Crown employee (such as a member of the armed forces or civil servant) serving abroad, or the partner of a Crown employee. You don’t need to be a taxpayer to have an ISA but you must have a National Insurance number.

17. Can I open an ISA on behalf of someone else?

Only if you have a Lasting Power of Attorney for the person you want to open the ISA for. If that’s the case, please call us on 0333 900 9999 to discuss further.

18. Do I have to declare my ISA profit on my tax return?

No. Your ISA earnings are exempt from tax and there is no need to declare them provided you meet the ISA rules. Our tax statement excludes your earnings within your ISA.

19. How do I make a withdrawal from my Sourced Capital Innovative Finance ISA?

Simply go to your dashboard, select ‘Take’, and enter the amount you would like to withdraw. To be able to withdraw money, you will need to ensure that you have Available Funds.

20. If I transfer in my IFISA and the transfer is delayed, will I miss out on a special offer?

It depends upon the terms of the offer. Some offers may provide an incentive for opening the IFISA account, whereas other offers may require you to transfer in a specific amount by a certain date and delays in transfer could be a problem.

21. What happens to my IFISA if stops trading?

The loans your money is invested in are a contract between you and the borrower. As part of FCA regulation we are required to have a Living will with a third-party administrator that would take over the servicing of the loans. This administrator would also be an ISA manager so your investment would still be treated as an IFISA. You wouldn’t be able to add more funds into the Sourced Capital IFISA and your borrower’s repayments wouldn’t be reinvested in more loans. As your borrowers repay you would be able to withdraw the funds or transfer them to another ISA provider.