Tranferring cash ISA, notification needed???

cyclonebri1

Last year my transfer to a new provider went wrong and took forever. I don't want the same issue this year when I transfer 2 others to this same provider.

Can anyone confirm is there anything I need to do with regard to informing the OLD provider??, the transfer papers themselves if I recall are dealt with by the new provider.

I have asked this indirectly in other posts but didn't get an answer so here it is in it's own post

rb10

You should not have to inform the old provider at all. The new provider takes care of all the paperwork.

(I believe that there are one or two exceptions to this, e.g. Kent Reliance say that you should inform them as well).

cyclonebri1

rb10 wrote: »

You should not have to inform the old provider at all. The new provider takes care of all the paperwork.

(I believe that there are one or two exceptions to this, e.g. Kent Reliance say that you should inform them as well).

Mansfield BS did too, hence my issues, trouble is I didn't know. Was it in the small print?, right now I don't give a monkeys, thanks rb

MarkyMarkD

Kent Reliance don't say you need to inform them as well. Unless you have a passbook based account, in which case you need to send them the passbook.

If your original ISA is a notice account, and you want to move the money asap, it is worth notifying the original provider to start off the notice period. But otherwise, they won't do anything until they've received the transfer request so it is pointless even speaking to the old provider. You are wasting their time and your own.

david78

You don't need to tell the old providers. You will be authorising the new provider to tell them on your behalf. Some providers like you to "tell" them, but that is only so they can try to persuade you to leave your money with them. The only case where you might want to let them know is if you need to give notice to withdraw. You might let them know out of courtesy too - I can't see it doing any harm.

The main thing is to make sure you have put the correct address of your old provider on your application form. Your new provider should check this (they know who the ISA managers are) but sometimes they do not and paperwork goes missing.

cyclonebri1

Well exactly as I thought, but I can asure you that the building society I was with held things up for so long, about 6 weeks, that not only had the offer with the new provider lapsed, but when the pass book went in and was cancelled, I had to pay £10 for a new passbook for the returned funds to be entered in, only to cancel it a week later when I went with a different transfer.

Last time I use a passbook account :mad:

Mee

(I believe that there are one or two exceptions to this, e.g. Kent Reliance say that you should inform them as well).

I've been with KR for 5 years+ and this is the first I've heard of that. I transferred out some of my cash ISA from a KR account last year and there was no requirement to do so.

KR are always quick and efficient when it comes to admin. I've done partial transfers a few times to take account of better rates elsewhere, but always go back to KR. One would have thought I would have learnt by now.

MarkyMarkD

No provider has the right to require you to notify them. The transfer form which you complete for the other provider, is sent to the original provider, and that is your instruction to make the transfer. Nothing else can be required*.

But, as I said before, if there is a notice period, it might be advantageous to notify the old provider immediately, as that may start the clock ticking for the withdrawal.

* Other than the requirement to send your passbook to be updated, if it's a passbook-based account.

cyclonebri1

MarkyMarkD wrote: »

No provider has the right to require you to notify them. The transfer form which you complete for the other provider, is sent to the original provider, and that is your instruction to make the transfer. Nothing else can be required.

But, as I said before, if there is a notice period, it might be advantageous to notify the old provider immediately, as that may start the clock ticking for the withdrawal.

Mark, I think it was the fact that it was a pasbook operated account that screwed it, the fact that I didn't know that was a problem at the time, and my original BS didn't inform me or reject the request untill about 45 days after I applied. :mad:

MarkyMarkD

Agreed - sorry. I've edited my original post to reflect this.

If you chose a passbook-operated account, then it's quite normal to require you to send the passbook to the original provider - or, indeed, along with the transfer form to the new provider.