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Stock Broker Penalty Charges - Same FSA legislation as Bank / Building Society??
Orpster
Posts: 1 Newbie
Hi,
Hoping that someone can offer some advice....
I have an Online Share dealing account with TD Waterhouse, after a few months of opening the account I noticed a charge on the account of £10+VAT, on investigation I realised that this was an 'inactivity fee' due to the fact that I hadn't traded with a 3 month period, after having the account for a year or so I have repeatedly been charged this penalty as I have not been in a position to buy or sell any stocks further to the shares that are held within the account (market value less than £5K). I have now sold the shares within the account and withdrawn the funds, the account balance now stands at £0. Subsequently it appears that if I don't close the account I will continue to be liable for quarterly inactivity fees but if I close the account then according to the T&C's I will incur a £50+VAT admin fee.
Neither of these charges were made explicit when I opened the account, and in fact I have had a 'Telephone Dealing' account for a number of years, with TD Waterhouse, and not encountered any of these fees. It seems to me that these charges are unfair and disproportionate to any costs they might incur. With this in mind, given that TD Waterhouse is regulated by the FSA, although possibly not Technically considered a Bank or Building Society? Do I have any grounds to claim back these fees?
Many thanks for your help in advance.
Hoping that someone can offer some advice....
I have an Online Share dealing account with TD Waterhouse, after a few months of opening the account I noticed a charge on the account of £10+VAT, on investigation I realised that this was an 'inactivity fee' due to the fact that I hadn't traded with a 3 month period, after having the account for a year or so I have repeatedly been charged this penalty as I have not been in a position to buy or sell any stocks further to the shares that are held within the account (market value less than £5K). I have now sold the shares within the account and withdrawn the funds, the account balance now stands at £0. Subsequently it appears that if I don't close the account I will continue to be liable for quarterly inactivity fees but if I close the account then according to the T&C's I will incur a £50+VAT admin fee.
Neither of these charges were made explicit when I opened the account, and in fact I have had a 'Telephone Dealing' account for a number of years, with TD Waterhouse, and not encountered any of these fees. It seems to me that these charges are unfair and disproportionate to any costs they might incur. With this in mind, given that TD Waterhouse is regulated by the FSA, although possibly not Technically considered a Bank or Building Society? Do I have any grounds to claim back these fees?
Many thanks for your help in advance.
0
Comments
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According to the website it is "up to £5" to close an account - the £50 is for ISAs and PEPs. I don't know if you could say their fees were unfair I guess there is only one way to find out0
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