Leaving HL without transfer charges

kfsimpson

Here's a thought for the ISA accounts - what do others think?
Wait until after 1st July, convert all HL holdings into cash, transfer out to an instant access cash ISA (being careful to keep each a/c under £85K), ask II (or whoever) to effect a transfer in from the cash ISA. Surely HL would pay out quickly to cash so reducing the potential time the transfer will take. They've always been v efficient handling payout requests in the past.
Could also work for non-ISA holdings as long as you stick within annual CGT limits.
The slight downside is that you would end up paying your new platform's dealing charges for each line you wish to repurchase, but they might be willing to give you a few extra free trades on transfer in. Even if you pay £10 with II the cost would still be less than the hassle of the long wait and arguing with HL about whether they charge you exit fees.
Possible?

Totton

mutley74 wrote: »

unless I missed something I am better off with HL than before.
Charges for funds etc £16
Loyalty bonus £33...

Same as me, much better off with HL now :beer:

SnowMan

HL's awful death charges covered again by the Guardian today

http://www.theguardian.com/money/2014/may/04/investment-firms-heavy-fees-probate

zagfles

SnowMan wrote: »

HL's awful death charges covered again by the Guardian today

http://www.theguardian.com/money/2014/may/04/investment-firms-heavy-fees-probate

Would people always have to pay it though, particularly for estates where no IHT will be payable, for instance if under the nil rate band or if it's going to a spouse?

In these cases AIUI HMRC will accept an approximate valuation, as they would for say the value of a house. So if the charge is just for the valuation, as long as an approximate value is known, or the holdings are known so it can be worked out, or perhaps if spouses have linked accounts so they can see the others' holdings, then would you need to pay? It seems the fee is for valuation rather than processing the probate.

le_loup

kfsimpson wrote: »

Wait until after 1st July, convert all HL holdings into cash, transfer out to an instant access cash ISA (being careful to keep each a/c under £85K), ask II (or whoever) to effect a transfer in from the cash ISA.

Seems a very long way round. Two lots of delays built in.
If I had my time over again, I would have converted to cash and then done cash to new broker. No fund manager delay. But have the problem of being out of the market for say, just a couple of weeks and have to pay fund purchase fees.

Rollinghome

SnowMan wrote: »

HL's awful death charges covered again by the Guardian today

http://www.theguardian.com/money/2014/may/04/investment-firms-heavy-fees-probate

It's the whining dishonesty of Danny Cox pleading that the fees they extract from the newly bereaved are justified that's so offensive.

Are they really so inefficient that they have to charge £600 for doing exactly what Halifax Sharedealing can do for just £12.50 and Fidelity and Charles Stanley will do for no charge at all?

OTOH, looking at the stories here of their incompetent actioning of transfers they probably are.

kfsimpson

le_loup wrote: »

Seems a very long way round. Two lots of delays built in.
If I had my time over again, I would have converted to cash and then done cash to new broker. No fund manager delay. But have the problem of being out of the market for say, just a couple of weeks and have to pay fund purchase fees.

Quite agree, but given that others are reporting delays of months in making an in specie transfer, I reckon HL will pay out cash pretty quickly, as they always have done. I can't find out anywhere if the 15 day rule applies to S&S>Cash ISA transfers, so suspect it doesn't. But I bet II would get the money in pretty sharpish from a Cash ISA. Still not sure, that's why I would value the opinions of others, but I really don't want the delays others mention and the argument with HL over exit fees.

rusty69

Just had a reply regarding my transfer from HL.Here is their response to a request for them to reduce their fees:


"Unfortunately, after reviewing your account, we would be unable to offer you a reduced rate. It is not our standard approach to have individual arrangements – with 584,000 clients this would simply be unworkable."


Nearly got to 1000 posts

ffacoffipawb

rusty69 wrote: »

Just had a reply regarding my transfer from HL.Here is their response to a request for them to reduce their fees:


"Unfortunately, after reviewing your account, we would be unable to offer you a reduced rate. It is not our standard approach to have individual arrangements – with 584,000 clients this would simply be unworkable."


Nearly got to 1000 posts

Why have they given individual arrangements to other clients then?

Now exactly 1000 posts!

grey_gym_sock

kfsimpson wrote: »

Here's a thought for the ISA accounts - what do others think?
Wait until after 1st July, convert all HL holdings into cash, transfer out to an instant access cash ISA (being careful to keep each a/c under £85K), ask II (or whoever) to effect a transfer in from the cash ISA.

you could just transfer directly from HL to your preferred S&S ISA provider in cash, instead of in specie. by asking for a transfer in cash, your holdings should be sold as part of the transfer process - or you could convert them to cash yourself first, as you say.

surely 1 cash transfer is quicker than 2? (... to generalize.)

also, if you don't initiate a transfer before 2 june, then HL will start charging £25 to transfer cash out, and £30 to close an account. ... which you could probably get waived, as demonstrated throughout this thread, but why make it more complicated?