Easy ISA Santander - account blocked?

zelig

Hi - this is a question on behalf of my mother that some of you might be able to answer?

She has an Easy ISA with Santander and still hasnt recived her letter/statement of interest - when she called them they told her the account had been blocked due to the fact she hadnt put any cash in for around 8 years?
The thing is she always recieved her Interest statement every year up until now.

Does anyone know what the "block" entails and why?

Many thanks

Regards Zelig

Mikeyorks

zelig wrote: »

due to the fact she hadnt put any cash in for around 8 years?

Variable ISAs 'lapse' if you don't add to them in the previous financial year. Meaning you need to re-apply in order to add further funds.

But - that's far removed from it being 'blocked' and them declining / neglecting to send an annual statement (if they've previously done so). Suggest you enquire of Santander the precise state of play? I doubt they will have made it 'dormant' as it usually takes a 15 year timeframe to get to that point.

ses6jwg

Nope dormancy kicks in long before 15 years it is now about 6 years to comply with new anti money laundering laws.

She needs to go into a branch with her account details/ passbook, and produce two forms of ID, one Type A and one Type B.

So a drivers license/ passport and a utilities bill/ letter from DWP.

The dormancy can then be lifted from the account.

zelig

ses6jwg wrote: »

Nope dormancy kicks in long before 15 years it is now about 6 years to comply with new anti money laundering laws.

She needs to go into a branch with her account details/ passbook, and produce two forms of ID, one Type A and one Type B.

So a drivers license/ passport and a utilities bill/ letter from DWP.

The dormancy can then be lifted from the account.

Cool thanks very much for the info

PC_Gabriel_Kent

There may also be a block which needs an ISA Declaration signing.

martinman3

zelig wrote: »

Cool thanks very much for the info

Of course, your mother may be shocked once she gets her statement and finds out that this ISA is now earning just

0.1% for balances £1-£27000
0.3% for £27000-£40000
0.5% £40000+

PC_Gabriel_Kent

Statements are being sent out between 16th April and 15th May. They will be sent irrespective of any blocks on the ISA. I would imagine most people would realise interest rates are at an all time low seeing as its been headline news for over a year.

Mikeyorks

ses6jwg wrote: »

Nope dormancy kicks in long before 15 years it is now about 6 years to comply with new anti money laundering laws.

.

HMRC, who patrol the scheme, would disagree with you :-

An account is dormant at a particular time if it has:

• been open throughout a period of at least 15 years
• during that period, no transactions have been carried out in relation to the account by or on the instructions of the holder of the account

zelig

Many thanks to all for your excellent info

Much appreciated

Zelig

:beer:

Is_it_me?_2-2

The same thing has just happened to me.
Have an ISA that I haven't used for 5 years. On receiving this year's statement I realised that the interest had plummeted. I know, my fault for not checking.
Telephoned to move to better alternative and was told my account had been blocked as I had not used it for several years.
I am aware of the 15year dormant rule but this account is only 5 years old. I have been told I can reactivate by personlly visiting any branch with ID but not only does this mean a completely unnecessary trip requiring time and parking expense but I wanted to know on whose authority I was refused access to my account. I was told by the branch that it was not Santander but HMRC and that details were in the Terms & Conditions. ( unable to find this reference I should add ).
Also investors should be aware that they will be refused the right to transfer to another provider unless the block is lifted.
If Santander are unable to show me where I have been told of their right to block my account, as soon as it's lifted, my savings are off to pastures new, never to return!

Is_it_me?_2-2

Is_it_me? wrote: »

The same thing has just happened to me.
Have an ISA that I haven't used for 5 years. On receiving this year's statement I realised that the interest had plummeted. I know, my fault for not checking.
Telephoned to move to better alternative and was told my account had been blocked as I had not used it for several years.
I am aware of the 15year dormant rule but this account is only 5 years old. I have been told I can reactivate by personlly visiting any branch with ID but not only does this mean a completely unnecessary trip requiring time and parking expense but I wanted to know on whose authority I was refused access to my account. I was told by the branch that it was not Santander but HMRC and that details were in the Terms & Conditions. ( unable to find this reference I should add ).
Also investors should be aware that they will be refused the right to transfer to another provider unless the block is lifted.
If Santander are unable to show me where I have been told of their right to block my account, as soon as it's lifted, my savings are off to pastures new, never to return!