SIPP UFPLS - HL requesting bank statement

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Audaxer
Audaxer Posts: 3,508 Forumite
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in Pensions, annuities & retirement planning
I have completed a risk assessment by telephone and am now completing the paper application to make my first UFPLS withdrawal from my HL SIPP. Firstly I was surprised that the application could not be all done online, and then also surprised that the application form asks for a postal bank statement to verify my chosen account for the payment.

As I was not that keen on sending a bank statement I queried it and they said that if I didn't send one it may take longer to verify my bank account details.

Just wondering if anyone can advise what is involved in verifying bank account details without a bank statement and how long that will take?

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  • dunstonh
    dunstonh Posts: 116,383 Forumite
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    Just wondering if anyone can advise what is involved in verifying bank account details without a bank statement and how long that will take?

    They will try the electronic method. I find that fails more than it works. In most cases you have to revert back to getting a statement or void cheque. Its a keying in exercise. So, about 2-3 minutes is all it takes to get told its a pass or a fail.

    To be honest, we normally look to validate the bank account on account opening. This avoids the delay when you do need the money. Anyone else readin this thread should consider doing it with their platform in advance of needing any money.
    I am also surprised HL dont do it online. I keyed one the other day and the person had the money in their account 2 hours later. HL's software is normally regarded as one of their better points. It is effectively what you are paying that much more for.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • Audaxer
    Audaxer Posts: 3,508 Forumite
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    dunstonh wrote: »
    They will try the electronic method. I find that fails more than it works. In most cases you have to revert back to getting a statement or void cheque. Its a keying in exercise. So, about 2-3 minutes is all it takes to get told its a pass or a fail.
    Is it they just key in the account number and sort code somewhere to check I've written a valid account number and sort code on the application? If so, you would think provided they key in the number correctly it would pass?
    To be honest, we normally look to validate the bank account on account opening. This avoids the delay when you do need the money. Anyone else readin this thread should consider doing it with their platform in advance of needing any money.
    I am also surprised HL dont do it online. I keyed one the other day and the person had the money in their account 2 hours later. HL's software is normally regarded as one of their better points. It is effectively what you are paying that much more for.
    Yes, I thought it would be a lot more automated with HL as I thought I input my bank account details when I opened the SIPP, but it doesn't appear to have anything listed under my account details.

    I withdrew cash for the first time from my S&S ISA with AJ Bell recently and that was much more straightforward as all done online, as they already had my bank account details.
  • dunstonh
    dunstonh Posts: 116,383 Forumite
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    Is it they just key in the account number and sort code somewhere to check I've written a valid account number and sort code on the application? If so, you would think provided they key in the number correctly it would pass?

    Your credit data files can contain your account number and sort code and account name. If the software can match it up with what has been input then it will pass. If it doesnt match, it fails. You never know why it fails.
    Yes, I thought it would be a lot more automated with HL as I thought I input my bank account details when I opened the SIPP, but it doesn't appear to have anything listed under my account details.

    Most platforms will let you input the account number etc but it will not be validated for withdrawals unless you open the account with a cheque or pass the electronic check. The electronic check is a relatively new thing in respect of bank accounts. Some of the platforms auto-check this on account opening now. Some only do it on older accounts as and when asked to.

    Did you open your AJ Bell account originally with a cheque? (that would be one way of it being validated). Or maybe they electronically checked it.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • Audaxer
    Audaxer Posts: 3,508 Forumite
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    dunstonh wrote: »
    Did you open your AJ Bell account originally with a cheque?
    When I opened my AJ Bell ISA the cash transferred in from another provider, and I just input my account details as requested when opening, so I guess they must have validated them then.

    When I opened the SIPP with HL I made the initial payment by debit card from the same account I now want the UFPLS to go to, but I can't remember if the opening application asked me to input account details separately. But looking at my account online, there doesn't seem to be a place where bank details would show, unless I have missed it.
  • brewerdave
    brewerdave Posts: 8,509 Forumite
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    @audaxer - have you had to supply an official Bank supplied statement? I only ask because all my current accounts are paperless and I'm considering whether to start drawing down my HL SIPP shortly.
    I also cannot remember having to supply linked account details on opening the SIPP altho' I have paid in using 3 different debit cards.
  • Audaxer
    Audaxer Posts: 3,508 Forumite
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    brewerdave wrote: »
    @audaxer - have you had to supply an official Bank supplied statement? I only ask because all my current accounts are paperless and I'm considering whether to start drawing down my HL SIPP shortly.
    I also cannot remember having to supply linked account details on opening the SIPP altho' I have paid in using 3 different debit cards.
    The application form says send a bank statement which has been sent to you by post, but a separate leaflet enclosed said to send a copy of a postal bank statement, so that is what I am going to send.

    If you don't send any form of bank statement (original or copy) I think they could still verify your account details, but they said it may take longer. In my case I don't want a delay as I want to make sure the lump sum is taken from my SIPP before the end of this tax year.
  • AlanP_2
    AlanP_2 Posts: 3,253 Forumite
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    Why the reluctance to send a statement? Had to do this a few times for different accounts and all I do is copy it with blank sheets masking the transaction & value details.

    All they want is proof of Name, Address, Sort Code and Account Number on one piece of evidence, they don't need to know how much you spend in Tescos.
  • Audaxer
    Audaxer Posts: 3,508 Forumite
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    AlanP wrote: »
    Why the reluctance to send a statement? Had to do this a few times for different accounts and all I do is copy it with blank sheets masking the transaction & value details.
    That's a good idea if they accept a copy with values blanked out, but the application form indicated it was an original statement required although the leaflet did mention a copy.

    I am surprised it is such a paper-based process as I just thought it would be a simple process to withdraw the funds online.
  • dunstonh
    dunstonh Posts: 116,383 Forumite
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    I am surprised it is such a paper-based process as I just thought it would be a simple process to withdraw the funds online.

    What alternative is available for you to do online to prove your bank account belongs to you?

    Remember this is an anti-fraud measure. It is to prevent any third party accessing your funds. And if they do, then the money can only go to a validated account.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • noh
    noh Posts: 5,799 Forumite
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    I have had to do the same with A.J Bell within the last year.
    They at least allow the copy bank statement to be sent in PDF format via email. The withdrawal was actioned within a couple of hours of me sending the email with bank statement attached.
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