F&C Childrens Investment Plans - New Charges

snowcat53

Here are 5 yr data for most of the funds available in the F&C shares CTF.for interest. Rather busy but you can the stars, the slow and steady, and the ones that are either dogs or out of favour sectors

Cliffo

Hi Guys,
I've been following this thread before deciding what to do - have got 3x CTF in F&C Global Smaller Cos. and had the letters.
Just also seen situation this Saturday morning on BBC News Breakfast - presented by Paul Lewis, Money Box (of Radio 4)
Has Martin had a go yet on ITV?
I also made personal complaint back to F&C but just got rubbish reply suggesting I transfer elsewhere (like letter it did not even mention their stakeholder switch option)
John

Tammer

Perhaps the most surprising aspect is that noone, here, or in the press, has checked whether it is legal for F&C to introduce this charge.


Have you checked your terms and conditions?

Cliffo

I cannot post proper links yet, but there is an article in today's Telegraph (www . telegraph . co. uk) called "Child Trust Fund prisoners hit with new fees".

I am sure there will be someone in the offices of F&C monitoring the media and indeed reading these forums. All I can say to you without swearing is that you should be ashamed of your actions in pilfering these CTF's - and especially considering the small amount of extra income you will gain overall but suffer future considerable loss of custom from angered parents and when children grow up, etc. There is still time for a respectful U-turn and exempt these charges for CTF accounts.

Cliffo

Tammer wrote: »

Perhaps the most surprising aspect is that noone, here, or in the press, has checked whether it is legal for F&C to introduce this charge.


Have you checked your terms and conditions?

Tammer, I've been reading the booklet that came from HMRC with the letter and vouchers. It says for CTF share type accounts "There is no limit on the charges your CTF provider can make for running the account"

Tammer

Hi Cliffo,

That doesn't matter though. Your application form, key features and terms and conditions you have from F&C form the basis of your contract with them. Do they allow f &c to introduce a new charge?

S_t_e_v_e

Does anyone know what the fees are for leaving the Children's Investment Plan (not CTF) and whether it's per account, per fund, etc.?

I've got an account for each of my four children and am thinking of closing the F&C plans and investing it all together as a lump sum in another providers ISA. I haven't used any of my ISA allowance so I'd do it in my name. The alternative is to stay with F&C but merge all four funds into one so I only pay one fee.

jimjames

Currently 0.2% to sell.

It will go up to £12 plus VAT in April. I think it is £12 to get re-registered shares so another company is nominee.

atush

I have finally gotten my letter.

Not 100% sure about what I will do as I have a 5 figure sum in this.

When Witan did this last year, it covered all buying and selling charges for the year (apart from stamp duty). F&C will still collect 12 for a sale (which means you would have to sell more than 6K to make it a better deal).

If it covered all charges apart from Stamp duty I would not be so cross.

RaspberryFool

jimjames wrote: »

Currently 0.2% to sell.

It will go up to £12 plus VAT in April. I think it is £12 to get re-registered shares so another company is nominee.

Obviously it pays to determine whether 0.2% is less than £12 (or £8, see below). If it is more than £12 (or £8) then, according to F&Cs T&Cs, <I> If your shares are sold on, or after, Monday 8 April 2013, the dealing charge (reduced to £8 if you place the deal online) will apply along with any outstanding account charge.</I>

Therefore, if you <I>have</I> online access, you could sell them on 8th April for £8. The account charge, if you close your account on 9th April, should be pro-rata'd for one day. (I make that ~13p).

RF