Natwest Messed up my ISA

chicko

I went in to a natwest branch on 4th april to open an ISA for the 2008/09 tax year. Once the account was opened i asked if they could transfer in my full allowance from my current account.

the girl assured me that whilst the transfer would take place on monday 6th april, it would be back dated to 4th april and show for 08/09

I now have a statement telling me the isa is for 09/10 and was opened on 6th april. and am very annoyed.

the branch won't return my calls. I called the complaint line and was told the branch have 10 working days to get back to me. This deadline expires today

If they dont get back to me, what should I do, as they have essentially wasted me ISA allowance for last year, despite all the paperwork saying it was for 08/09 tax year.

masonic

Submit a formal complaint in writing. If they can't backdate the deposit as they said they would, then ask to be compensated for the tax deductions you will now have to pay on interest for the £3600 lost ISA allowance.

Mintoze

NatWest don't seem to be on the ball with ISAs. I applied for a new ISA account with them end of April for this year's quota. That took a couple of weeks to carry out. So far not too bad. At the same time I requested to transfer the balance from my Barclays Tax Haven into the new account. It is now July and after complaining bitterly it still hasn't arrived. I was told it would arrive before end of June. Well, it left Barclays on 26 June, but where is it now? Can anyone tell me what happens to money between leaving one account and arriving at the next?

masonic

Mintoze wrote: »

Well, it left Barclays on 26 June, but where is it now? Can anyone tell me what happens to money between leaving one account and arriving at the next?

It will be in a holding account at Barclays until Natwest process the transfer cheque. Natwest seem to typically take at least a week to credit the money after the transfer cheque is sent.

chicko

masonic wrote: »

Submit a formal complaint in writing. If they can't backdate the deposit as they said they would, then ask to be compensated for the tax deductions you will now have to pay on interest for the £3600 lost ISA allowance.

cheers

how much do you reckon i'd be losing yearly in tax payments?

masonic

chicko wrote: »

cheers

how much do you reckon i'd be losing yearly in tax payments?

On an average interest rate of 5%, it would be £36 per year for a basic rate taxpayer. At the moment it's obviously a fair bit lower than that.

chicko

cool.

so if they can't rectify it, i need to keep that figure in mind. i was planning to keep this cash in an isa for a very long time, as i don't have any need for it on a day to day basis.

will see what happens, if they ever reply to my queries. seems that the branch manager is in quite a lot of trouble over her failure to return my calls according to the complaints department.

glossop_2

Hi

I have a similar experience with regards to nat west and isas although my problem was with an E isa posted to the wrong year. My branch has been very helpful following a visit to complain. They have offered me ( based upon £3600 deposit ) £94.68 credited to my account each year for 3 years. I am turning the offer down

I will keep you posted

masonic

glossop wrote: »

They have offered me ( based upon £3600 deposit ) £94.68 credited to my account each year for 3 years. I am turning the offer down

The clearly don't understand the magnitude of the loss suffered when a lifetime tax exemption is lost on a sum of money.

Pendle_Gazza

chicko wrote: »

I went in to a natwest branch on 4th april to open an ISA for the 2008/09 tax year. Once the account was opened i asked if they could transfer in my full allowance from my current account.

the girl assured me that whilst the transfer would take place on monday 6th april, it would be back dated to 4th april and show for 08/09

I now have a statement telling me the isa is for 09/10 and was opened on 6th april. and am very annoyed.

Banks are a pain in the backside, but, to be fair to NatWest, leaving it until the last Saturday, and asking to transfer money which could only be carried out once the next tax year had started does seem - with the greatest respect - to have been asking for trouble.

You'd have avoided this if you'd gone in at least a week earlier. That said, I would imagine you'll be able to get it sorted out, but I guess it will take some time and perseverance. It took me several phone calls to get a problem caused by the Abbey resolved with them and NatWest. Good luck!

tarynkay

Natwest are being incredibly slow in transferring my isas from 2 other banks. This has gone on since April. However after complaining several times they have stated any interest lost after 30 days allowed to transfer, will be credited to me.
I know my isas have now left Kent Reliance and Nationwide on June 25th. I hope that it all arrives in my e isa this week with the extra promised interest!