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Is Shared Interest a bank?
No, we are not a bank. We are a co-operative lending society (registered as an Industrial and Provident Society) and when you invest with Shared Interest you become a member. Each member is an equal shareholder, regardless of the size of the investment and, as a member you have a right to participate in the running of the Society, although there is no obligation to do so.
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Is Shared Interest a charity?
No, we are not a charity. Your money is an investment, not a donation. Shared Interest does however have a sister company which is a charity - the Shared Interest Foundation. This charity has been set up to tackle issues that would not otherwise be financially viable for the Society.
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Can I earn interest on my investment?
Your investment can earn interest and the rate payable is notified to members at regular intervals. The level of interest is determined from time to time by the directors and can be affected by the UK base lending rate, bad debts and the overall performance of the society. The interest payable to members will always be below the market rate and may be zero.
The payment of interest usually depends on whether the society has made sufficient profit by the end of its financial year (30 September). Interest payments for that year are usually credited to members' accounts on the following 31 March.
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Is my money at risk?
Yes, your money is at risk, as with any investment you make. Your share account is not a bank account. There is no guarantee that you will be repaid the money you invest. The loans we make to producers are not secured in any way. The credit facilities we make available to buyers are also largely unsecured. Many people would consider this to be a high-risk investment.
However, in our lifetime to date, we have never suffered a loss that has affected our members' investment capital.
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