25/3/2020 – THIS OFFER HAS NOW CHANGED – You now need to deposit £1000 to get £100.
Another great free cash offer – this time from RateSetter. This offer sees you triple your initial deposit!
What is RateSetter?
RateSetter is a peer-to-peer investment platform who join people willing to loan money with people who wish to borrow it. With a normal loan you approach a bank or a lender and they decide whether to lend you the money. Your RateSetter account allows you to offer the money that is lent, without the need for a bank. By remaining online they keep their overheads down and so are able to reduce the costs and pass that reduction onto you, the lender, through higher interest payments.
Who are RateSetter?
They started in 2010 and are committed to being the safest and most liquid peer-to-peer lender in the UK. In 2014 they entered into the Australian market and in 2019 they won the Queen’s Award for Enterprise. RateSetter are a private company with over 200 employees and were the first globally to launch a provision fund.
Is My Money Safe With RateSetter?
As with all investments there is an element of risk. They are FCA regulated but that is not all. RateSetter created a ‘Provision Fund’ to act as a form of protection on poorly performing loans. For the past 9 years it has maintained a 100% record however they do explain that the Provision Fund isn’t a guarantee – if the funds were depleted completely then the investment would remain at risk.
Current Interest Rates
At the time of writing this the current interest rates across the two accounts they offer are as follows.
These do change so check them before you sign up to make sure you are happy with them.
Historically, RateSetter has offered generous joining bonuses however you’ve needed to deposit £500 or £1000. Their current joining bonus now only requires you to deposit £10 to have £20 added to your account. That’s a 200% return on your cash – you wont get that from your bank!
The joining link is http://link.ratesetter.com/B3XRC7T
- Click this link – http://link.ratesetter.com/B3XRC7T
- Set up Account
- Deposit £10 (I did this as a card payment)
- Once £10 is showing on account – choose whether to put it in the ‘Everyday Account’ or ‘ISA Account’ (I did the EveryDay Account)
- Wait until your £10 is matched
- Once your £10 is matched, you should get £20 added to your account (this might take a day or two – it can take up to 30 days).
- Choose whether to leave the money invested or withdraw
Withdrawing Money From RateSetter
It is your money so you can request to withdraw it when you want. As this money is invested in loans, RateSetter has to find someone to take on your loan before they can release the cash. They have outlined that on average this takes 24 hours. Depending on the product you choose to invest in, there may be fees to pay. One of the reasons I chose the Everyday Account is that there are no fees at all so when I withdraw my cash it is all mine.
The Reverend’s Final Thought
Who doesn’t like free cash? An easy £20 for you just for depositing and investing your £10. There is no reason why you can’t do the deposit, get the investment done, then withdraw all your cash. £10 in and £30 out. If you are after more free cash then check out this blog post that has all the free cash offers I’ve found and validated myself.
Its important that you do your own research with any scheme, regardless if you are in it for the long term or or short term. Make sure you are happy with it before handing over any cash. I have done this myself but it may not be right for you.