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Hargreaves Lansdown "playing hardball"
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WatsonNimrod wrote: »Yes, this thread kind of motivated me to ring them to see what the charges are going to me on my SIPP.
By the initial response I don't think I was the first person today ringing with the question. Certainly seems nothing will be announced this month.
Perhaps me being suspicious, but could they be waiting to release the fee structure after a bumper Santa run where we are all too busy with the festivities and office parties to notice the 'bad news'??
Ian Gorham is quoted in this investment week article as saying.
You would have thought from that comment that the likes of TD Direct, Alliance Trust Savings, Youinvest (Sippdeal), Charles Stanley direct, TD Direct, Interactive Investor, Cavendish and all the IFA platforms didn't offer clean funds under a clean charging structure.We have pushed it back because we do not feel under any pressure to launch it beforehand, and it lets us see what rivals are coming out with
Or does he mean that HL are waiting to see if their rivals who already have clean charging options, and have offered a range of clean funds for some time, adjust their charges, in a situation where HL don't even offer clean funds yet (a few funds like Vanguard aside).
It goes on to say in that article
Surely the way to give customers time to prepare is to tell them what the new charging structure is now. How is it possible to prepare when you don't know what charges you will be subjected to or even when they will be announced.Hargreaves had previously said it was aiming for an early January launch for its rebate-free charging structure, but said it wanted to give customers an extra month to prepare for the changes
TD Direct announced their charges in around February I think it was, with the charges coming in from August. Now that is more like what I would consider time to prepare.I came, I saw, I melted0 -
If you are planning to go into drawdown soon it could be worthwhile taking those costs into consideration. They vary quite a bit.
As an example:
Bestinvest have free setup for capped drawdown, £150 for flexible, and then a £100/year annual charge .
Youinvest (ex Sippdeal) have a £150 setup charge for capped drawdown, £225 for flexible, and £75/year annual charge. The annual charge increases to £250/year after age 75!!! Annual charges are still payable even if you choose to take no income - I am not sure whether this is also true for Bestinvest.
These sort of charges would make the use of drawdown for very small pension pots rather expensive.0 -
Surely the way to give customers time to prepare is to tell them what the new charging structure is now. How is it possible to prepare when you don't know what charges you will be subjected to or even when they will be announced.
HL gave close to zero notice regards their £2pcm tracker charge.I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.
Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.0 -
Ian Gorham is quoted in this investment week article as saying.
You would have thought from that comment that the likes of TD Direct, Alliance Trust Savings, Youinvest (Sippdeal), Charles Stanley direct, TD Direct, Interactive Investor, Cavendish and all the IFA platforms didn't offer clean funds under a clean charging structure.
Exactly. That was why I'd asked the question of which other platforms were still waiting to announce as it may indicate who HL consider to be the main competition.
Based on your list it just seems that they are dragging their feet to wait as long as possible before announcing their plans to retain current fee levels until the last possible moment.Remember the saying: if it looks too good to be true it almost certainly is.0 -
gadgetmind wrote: »HL gave close to zero notice regards their £2pcm tracker charge.
That and the Post Office stuff up, HL's reputation among this board is reducing at quite a fast pace.
Them delaying announcing the new pricing structure is just going to help the downfall.0 -
HL customer friendliness and value seem to have reduced since it became a PLC and had a new chief executive.0
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vm2pensioner wrote: »HL customer friendliness and value seem to have reduced since it became a PLC and had a new chief executive.
I would agree on value, but not on Customer Service.
In 20 odd years I find their staff knowledgeable and its never an issue to talk to someone in a specific department.
They mostly seem to come across as pleased to be helping you out, now of course that's what they are paid for, but that's becoming increasingly rare these days.
Of course service doesn't come cheap either.....0 -
have sippdeal(/youinvest) said they will extend their current charging structure for clean funds to all funds? they will be a good option if they do.
the same goes for bestinvest. in fact, if they'll do an all-clean funds ISA for £60 a year, and no dealing fees, i'm almost certain to move my (funds) ISA to them.
do bestinvest currently have clean funds other than vanguard, though? i was under the impression that they didn't have clean HSBC (class 'C') or blackrock (class 'D').
i don't think clean pricing has been announced by halifax (a.k.a. iweb, or motley fool), or selftrade.
i'm not quite clear whether we have interactive investor's final pricing. their own charges are fully explicit, but there was some commission still being retained by cofunds (who they use to handle funds).
there is also a bit of a question mark (this is based on dunstonh's comments) about whether charging schemes which treat funds and shares differently are supposed to be allowed. e.g. are TD direct allowed to charge 0.35% p.a. and no dealing fees on funds, while charging dealing fees but no annual percentage on shares? this kind of question could affect a few of the providers.0 -
more on topic, HL have said that they intend to apply their new charging structure to all customers. i.e. everybody pays the new explicit charges (whatever they are
), and if you're still in dirty funds, you get a full (instead of a partial) rebate of commissions. and you have the option to switch to clean (before 2016, by when everybody has to switch). 0
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