hsbc isa question

allan673

hi,
i bank with hsbc and have a normal cash isa - 0.30% interest. really crap i know. ive put in the max allowance this tax year and last year.
i phoned up today to ask if they could make it into a cash e isa but they said no.
they said i can open up a cash e isa on 6th april, but the only way i can transfer all my money to a cash e isa is to transfer it to another provider, then transfer it back to the hsbc cash e isa.
im really annoyed, i basically wanted to change/transfer my normal isa into a cash e isa.

any advice please?

Froglet

Although i bank with HSBC and would not change that as i find their internet banking websitei superb,i find their interest rates are pretty rubbish.As you have found they are pretty inflexible when you want to move up to a better rate.So if you want to transfer it,i would look at going with another provider,i have moved mine and hubby's isas about before and it really is not difficult.As long as you choose a reputable one and you can do some research on this forum to see who people recommend for ease and speediness,you should not have any problems.

CDes

Under ISA regulations I don't think it's permissible to transfer ISAs within the same provider.

Baldur

CDes wrote: »

Under ISA regulations I don't think it's permissible to transfer ISAs within the same provider.

That's incorrect, I have done so on several occasions - you may wish to peruse the HMRC Guidance Notes for ISA Managers.

The decision whether to accept internal transfers, or not, is simply at the discretion of the institution itself.

allan673

they wont let me do a transfer at all to the e isa.
said id be better off opening up a seperate e isa, then opening up a bond for my original isa balance???

might transfer the lot to another isa provider??

Lokolo

Just say you either want it transferred into the ISA or you are moving elsewhere.

I would transfers the whole lot if I were you, looks like they might not play ball.

allan673

cheers, i will tell them that.all i want is to transfer it from a cash isa to a cash e isa.
what gets me is that new customers can transfer into the cash e isa, but existing customers cant.
can you recommend anyone for a good isa please who accepts transfers in, leeds bs look quite good???
any advice please is welcome.

Lokolo

You can get e-ISA, but they want to you to transfer funds from ISA -> e-ISA because they lose money. If they say "the only way to do it is to transfer from existing providers", people aren't going to be bothered and leave it where it is, i.e. HSBC win.

You can transfer out, then transfer back in, but people see this as too much effort. So HSBC win.

http://www.moneysupermarket.com/savings/

Click Cash ISAs. tells you which allow transfers in.

Baldur

Lokolo wrote: »

Click Cash ISAs. tells you which allow transfers in.

So does http://www.moneyfacts.co.uk/money/savings/3/isa-transfers.aspx

allan673

thanks for the advice, ive sent them a message regarding this, and stating i will transfer to another isa provider if they refuse to transfer/change my cash isa into a cash e isa.
ive got a feeling they wont do this for me though, so it looks like i will be looking for a new isa provider. im a bit annoyed that new customers can transfer in, but being an existing customer stops me transfering in.
i will keep you informed...............cheers

brookerbabyisababy

First Direct (part of the HSBC group) do they same thing. It is awful attitude to loyal existing customers.