HSBC...ISAs....aaaaaaagh

leigh_an_tania

Ive got a HSBC direct ISA, absolute rubbish return at 0.20%. Have just tried to change it to the HSBC cash E ISA, a little better but still not great. However HSBC have a policy of not allowing transfer of ISAs within HSBC itself, from one product to another.

Therefore i have to transfer my ISA to another bank/building society (not a problem as there are lots of better rates out there than HSBC)

However it does seem stupid that HSBC would rather see me send my ISA savings to another bank/building society (and it is a rather decent amount if i say so myself...lol)........why is this, can anyone explain this rather crazy reasoning for me as HSBC normaly seem to have there head screwed on OK.

Thanks

Mr_K

Standard practice. Egg have done a similar thing with their new cash isa (ie. not allowing customers with their old cash isa, with a lower rate, to transfer over). They bank on customers being too apathetic to move and are usually right. Vote with your feet.....

Aegis

leigh_an_tania wrote: »

Ive got a HSBC direct ISA, absolute rubbish return at 0.20%. Have just tried to change it to the HSBC cash E ISA, a little better but still not great. However HSBC have a policy of not allowing transfer of ISAs within HSBC itself, from one product to another.

Therefore i have to transfer my ISA to another bank/building society (not a problem as there are lots of better rates out there than HSBC)

However it does seem stupid that HSBC would rather see me send my ISA savings to another bank/building society (and it is a rather decent amount if i say so myself...lol)........why is this, can anyone explain this rather crazy reasoning for me as HSBC normaly seem to have there head screwed on OK.

Thanks

Phone up and say you'll transfer out if you can't transfer internally. You might get somewhere.

TEDDYRUKSPIN

Does'nt matter. Transfer it out! 1.5% is completely rubbish.

Barclays, natwest or halifax have decent rates at the moment.

TRANSFER......................!!!!!!!!

Aegis

TEDDYRUKSPIN wrote: »

Does'nt matter. Transfer it out! 1.5% is completely rubbish.

Barclays, natwest or halifax have decent rates at the moment.

TRANSFER......................!!!!!!!!

That's probably a much better option at present

amyk_3

I put some money into my HSBC ISA on 6th April this year. Am I allowed to close this and open a new one with a bank that has a better rate? Thanks

Baldur

amyk wrote: »

I put some money into my HSBC ISA on 6th April this year. Am I allowed to close this and open a new one with a bank that has a better rate? Thanks

No - you can only subscribe to one Cash ISA per tax year.

You would have to select a new provider that accepts ISA transfers, complete their transfer form and let them arrange the transfer - you cannot do so yourself.

Bernard_Coleslaw

Afraid it's another case of "brand new customers only". As others have said, best to take your business elsewhere.

TEDDYRUKSPIN

LOL.... can you believe some companies can still get away with certain rates. LOL.....


Bernard love your avatar! That looks like my dance moves on a Saturday night! LOL.

bagsacash

However it does seem stupid that HSBC would rather see me send my ISA savings to another bank/building society (and it is a rather decent amount if i say so myself...lol)........why is this,

The reason they don't allow transfers between accounts is because they don't want you to have the better rate and they know that most people are reluctant to change accounts with another bank because of the hassle involved.

Them paying a chicken feed rate like that you should change accounts if its the last thing on earth you ever do.

As someone above mentioned theres Barclays, Natwest and Halifax paying what I consider are crap rates but better than the compatition, and far better than HSBC

TEDDYRUKSPIN

Just to add to the point..... hmmmmmmmmmmmm....

They don't want the cash but they rather raise the money via the rights issue method? Next... news comes out that they need to clear secondary debt from america due to second charge personal loans and credit cards?

Hmmmmmm..

Down the share prices!!!! Down!!!!