Halifax Kids Accounts

jls · 16 March 2015 at 3:33PM

We have Halifax Kids Regular Saver accounts in place for various grandchildren. First of these is approaching 1st year anniversary, and according to the T&C the balance from the year's deposits moves to a 'Young Savers a/c' - and the Kids Regular A/c can continue.

Or - If nothing done by the time of anniversary the Regular Saver A/c auto converts to a Young Saver.

As the 2nd A/c (Young Saver) was not set up at time of original opening - it was not mandatory at the time (though now is)

Today I tried to set up the meeting to make the transfer happen - to be told that the 'new' Young Savers A/c would require me to submit the grandchild's Birth certificate again!!! The Certificate lives with the child - 250 miles away

They had the Certificate at time of originally opening the Regular Saver A/c - AND confirm that the image of that Certificate is on their system - but they can not use it for the new account. The lady looked at the image and said it was not good enough.!!!!

Bizarre or what?

Tried two different branches and Savings Manager at second branch could not explain the logic, or rationale that a Birth Cert presented less than one year ago should now be required again - when the transaction is for the same child.

Another sunning example of Halifax confusion and incompetence. What an appalling company to do business with.

Have now decided to close ALL such accounts as they reach end of the first year - and find an alternative.

John

Marc_S · 20 June 2015 at 3:27PM

Having been with Halifax for many decades, I have finally lost my confidence in this bank following issues around the Young Savers account.

Like you, we had to set the account up in branch with a meeting with a customer service adviser. All fine and dandy and no issues.

In June last year, we received the annual statement and with a check over it looked ok. Interest paid, no tax deducted. However, I have just received this year's statement and with it a a tax statement advising that Halifax have kindly taxed my daughters interest. There is no deduction detailed on the annual summary, but just the HMRC tax statement attached.

Now, I could accept that I perhaps hadn't set the account up properly had I done it myself, although I had to visit a branch (12 miles away) to set the account up by meeting with a professional customer service adviser, I would expect that the account was set up correctly.

However, obviously not and therefore they have been taxed on their interest.

Now after being passed from the call centre to the branch and back to the call centre it is clear that they are in a real shambles and really don't care about customer service. To do any activity, I have to visit the branch, although the lady who put up with by frustration on the call centre has rectified it for next year (should the accounts remain open) and completed the form that should've been completed in the first instance.

As for the tax, I have to contact HMRC to reclaim it. After venting my frustration (sorry to the lady on the phone) Halifax have now refunded the amount. I declined the compensation they offered as that was not what I was after, but a letter to their CEO is in the post.

How disappointing that the bank with the best saving rates for children give the worst customer services to the account holder parents (and grandparents)!

PeacefulWaters · 20 June 2015 at 4:12PM

Now, I could accept that I perhaps hadn't set the account up properly had I done it myself, although I had to visit a branch (12 miles away) to set the account up by meeting with a professional customer service adviser, I would expect that the account was set up correctly

The staff member may, just about, earn "Living Wage".

xylophone · 20 June 2015 at 4:38PM

The staff member may, just about, earn "Living Wage".

No excuse for poor training, inefficiency or incompetence?

That said - mistakes happen (to err is human!) and all one can ask is that they are promptly corrected and the client/customer put back into the position he should have been in had they not occurred.

In this case what I find odd is that the interest was initially paid gross which indicates that an R85 was registered in the first instance - unless there was a transfer to a different account (which would have required a fresh R85), the interest should have continued to be paid gross - a computer glitch?

PeacefulWaters · 20 June 2015 at 4:40PM

xylophone wrote: »

No excuse for poor training, inefficiency or incompetence?

That said - mistakes happen (to err is human!) and all one can ask is that they are promptly corrected and the client/customer put back into the position he should have been in had they not occurred.

In this case what I find odd is that the interest was initially paid gross which indicates that an R85 was registered in the first instance - unless there was a transfer to a different account (which would have required a fresh R85), the interest should have continued to be paid gross - a computer glitch?

My guess is that a new account number was allocated.

SevenOfNine · 20 June 2015 at 5:35PM

I had both grandson's birth cert but no R85's (I assumed as kids were 5 & 6 it wasn't necessary). The guy I saw in Halifax said "never mind, I'll tick the box anyway". Job done, so no complaints from me - he's used some initiative & common sense IMO, so they're not all morons.

xylophone · 20 June 2015 at 10:57PM

both grandson's birth cert

Both grandsons' birth certs.......

But to err is human.....:)

Strictly speaking, it should be a parent or guardian who signs the R85/makes the declaration that the child is eligible to receive interest gross.

http://www.halifax.co.uk/savings/accounts/junior-savers/

The age of the child is not an automatic guarantee that he/she is a non-tax payer - he or she might be a child actor/model or have inherited wealth etc.....

And a mistake or omission, or indeed sticking to the rules (whether of the financial institution or HMRC), does not make an employee a moron?

hardpressed · 2 July 2015 at 2:02PM

So is there a better option where you don't have to show the child birth certificate every year?

Westie983 · 3 July 2015 at 3:31PM

if you remove the funds from the regular saver into the young saver then you can continue with the regular saver without the need to provide the birth certificate again, as its the same account just been emptied, and redesigned back to a regular saver from a young saver (which happens when the regular saver matures)

JustKeepSwimming_2 · 4 July 2015 at 10:59PM

Westie983 wrote: »

if you remove the funds from the regular saver into the young saver then you can continue with the regular saver without the need to provide the birth certificate again, as its the same account just been emptied, and redesigned back to a regular saver from a young saver (which happens when the regular saver matures)

That would depend on which staff at Halifax you ask

Had numerous problems last year on maturity - didn't get the maturity letter in time to complete the form, interest was calculated at a different rate, even when I completed the form my instructions were ignored & the maturing funds were put into a different account - you name it, it went wrong & I was given conflicting advice several times.

Compensation was handy, but all I really wanted was an explanation, an apology & reassurance that next year it would all work...

Roll on this year & I've already been given conflicting advice about what to do with the maturing funds - I can't just fill in a form to transfer the maturing balance into the already open young saver, & then start another 12 month regular saver; I have to have an hour's appointment during the week (so time off work) to do all of this according to one staff member.

So when my appointments to do this were cancelled twice due to staff sickness & no one else being able to deal with these accounts at the branch, I checked to see if I really did need to make such an appointment - apparently not. I can just fill in a form as a drop-in customer. Who knew? TBH I'm still not sure which member of staff to believe :rotfl:

Regarding R85 forms - I've filled in 3 in the last 18 months, as each time I've been told there hasn't been anything logged on the system. Its now one of the things I check each time I visit. Sigh.

I'm thoroughly fed up with Halifax & how they seem to be able to make every situation far more difficult than it needs to be. Each time I go to the local branch I'm faced with a queue at their reception station (or whatever it's called) so I get to hear all about why the person in front of me is there (never any personal rooms available) & I can either discuss my affairs in front of an audience, or not get the problem sorted out then & there.

I was once told that I had to take in photo ID for myself to discuss these accounts, despite having been a customer for many years. When I said I didn't have a driving licence (since I don't drive) & didn't think I had an in-date passport, I was told that I MUST have photo ID as it was a legal requirement by one chap - he was overruled when I queried that with a manager.

It seems at my branch there is only one staff member who has the collective Halifax brain cell on any given day - that may seem harsh, & every person I've ever spoken to has always been very pleasant & polite, & had obviously been genuinely trying to help; but often don't have a clue & that is not what I'd expect from a bank. Sometimes 2 or 3 staff members discuss situations between themselves & come to a general consensus. Complete contrast to where I have my other accounts.

At least they've now stopped asking me if I'd like to swap my current account to them :rotfl: Not if they were the last bank in the world.

DesG · 5 July 2015 at 11:41AM

We had the same issue as Marc S, with tax being deducted on 2nd years interest, looks like their systems are not fit for purpose.

Halifax Kids Accounts

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