CTF Fee's

charge27_2

When I originally got my daughters voucher, I was really confused about CTF's and ended up not doing anything with it, so the government invested it for me. I know thats dreadful, but in my defence I had not found this site at the time & when I tried to get financial advice, it was going to cost over £60 an hour!. Her 2nd £250 has also been invested in the same CTF.

Now that I understand a bit more about money generally (thanks to Martin & the wonderful members of this site), I actually looked at the statement when it arrived this year. The account is through thesharecentre & its the Legal & General UK Index R Acc Fund. The latest statement says it's worth £607.55 (£527 paid in).

I know that this is probably a rubbish CTF, but given the small amount of money & that we are not going to be paying anything else into it, we were just going to leave it where it is, as we thought it would cost to to transfer to another CTF. However this year they are asking for payment of £5.89 to cover the annual charges & if it's not paid by April, they will sell enough shares to cover the charge. Is this standard on CTF's ? Should we be looking to move elsewhere ?

dunstonh

However this year they are asking for payment of £5.89 to cover the annual charges & if it's not paid by April, they will sell enough shares to cover the charge. Is this standard on CTF's ?

They have to charge something. No-one is going to do it for free. £5.89 is 1% of the value which is normal for a stakeholder product.

Should we be looking to move elsewhere ?

If you can find someone that will do it for free then yes. However, you wont