Anyone else finding the application for the Natwest e-ISA confusing?

trinidadone

i am blowing steam at the moment. I tried to deposit the full £3600 in my current isa with Natwest. The day after the money was taken out of my IS account and transferred to my e-saver. I was told of this four days later by email. Seems Natwest have a strange reactive system, where customers have to fill in a form to reactivate the account to allow deposits and withdraws, does anyone know about this stupid system???

willo65

Lee_Dunford wrote: »

i am blowing steam at the moment. I tried to deposit the full £3600 in my current isa with Natwest. The day after the money was taken out of my IS account and transferred to my e-saver. I was told of this four days later by email. Seems Natwest have a strange reactive system, where customers have to fill in a form to reactivate the account to allow deposits and withdraws, does anyone know about this stupid system???

This is the same with any ISA due to HMRC regulations. If you don't pay in for a period of 12 months then the ISA will be blocked and you need to complete a reactivation form. If it is a new ISA or you have paid in then it could be blocked in error - if this is the case then give them a ring.

trinidadone

willo65 wrote: »

This is the same with any ISA due to HMRC regulations. If you don't pay in for a period of 12 months then the ISA will be blocked and you need to complete a reactivation form. If it is a new ISA or you have paid in then it could be blocked in error - if this is the case then give them a ring.

sounds like my was blocked in error then, let me tell you briefly the back ground:

opened Natwest ISA November 2008 and transferred the entire amount from another isa.

Did not make any further deposits, because I have already used 2008 - 09 amount.

April 2009 (five months later) isa blocked, told I need to fill out a reactivation form, told it takes up to 30 days to action. Was submitted on 11th April 2009 at my local branch.

am I in the wrong, or Natwest?????

Baldur

Lee_Dunford wrote: »

.....opened Natwest ISA November 2008 and transferred the entire amount from another isa.

Did not make any further deposits, because I have already used 2008 - 09 amount.

If you made no payments to the Natwest ISA, merely transferred existing Cash ISA funds from a previous ISA provider, then you have not made a subscription (paid new money into) to the Natwest Cash ISA for a full tax year and reactivation of the account is required under the ISA regulations.

trinidadone

Baldur wrote: »

If you made no payments to the Natwest ISA, merely transferred existing Cash ISA funds from a previous ISA provider, then you have not made a subscription (paid new money into) to the Natwest Cash ISA for a full tax year and reactivation of the account is required under the ISA regulations.

oh ok, so let me get this correct. If I have paid the full 3600 into a isa, and in the same year year, transfer the money to another provider, the isa will be blocked automatically, because i have made no deposit with the new isa provider????

Baldur

Lee_Dunford wrote: »

oh ok, so let me get this correct. If I have paid the full 3600 into a isa, and in the same year year, transfer the money to another provider, the isa will be blocked automatically, because i have made no deposit with the new isa provider????

'Blocked' isn't the terminology used by HMRC - you will be required to reactivate the account if no subscription is made to the account for a full tax year.

See HERE, for example:

ISA Reactivation If you did not deposit any monies in your Cash ISA with the Society during the last tax year, or your account was previously a TESSA Only ISA, you can now deposit savings up to the £3,600 limit but you will be required to complete an ISA Reactivation Application Form.

trinidadone

what a stupid system, thanks for the advise

Sooozie

So pleased to have found this thread. Am trying to open a Natwest e-isa to transfer an existing cash ISA, and cannot believe the nightmare of a process. In anger and near tears today with the frustration!! It is so confusing, and I'm tempted to give up. Cannot get anyhelp help via phone (left in a queue), unable to find their FAQ on the process, went into the local branch and they cannot help with internet accounts. Do they want our money?? Its unbelievable! I wouldn't recommend this product to anyone.

Sebby*

What's your question?

p00hsticks

Just spotted my transfer funds have gone into my e-ISA yesterday - so all in all quite smooth despite my initial hiccups with the (very confusing) application process. This is the first time I've transferred an Isa so, having read all the horror stories (both with this ISA in particular and transfers in general) I've been quite impressed with the speed, bearing in mind that there were three bank holdiays during the process

I can't remember the exact date I originally applied (as an existing Nat west customer), but think it was the week before Easter. My ISA showed up online the next day, empty. A few days later (15th April) I got the bumph through the post, at which point I immediately returned the slip to pay in this years allowance and then completed, printed off and posted an the online transfer form. This years allowance was credited on the 20th April, I got a letter from my existing provider dated 27/04 to say they had passed the funds to Nat West and they were credited yesterday (11th May) - so within the 30 day turn around allowed.

The main confusion I had with the process was with the transfer form - my existing ISA account didn't fit the format of the transfer form, and I was also concerned that there was no-where on the form to provide details of the new NatWest ISA account I wanted it transferred to. After phoning customer services (I got straight through) I resolved this by both writing the info on the form and also repeating it in a covering letter.

So all that's left is to hope that the interest rate stays good for a while now .....