Leaving HL without transfer charges

westy22

dave875933 wrote: »

Are we going to have another damn thread on how bad A J Bell are in a year? (You know, last year III, this year HL.) Another round of complaints to the FOS and the FCA.

I am fairly certain that Snowman could write that thread all on his own without any difficulty

SnowMan

westy22 wrote: »

I am fairly certain that Snowman could write that thread all on his own without any difficulty

Indeed.

But there are plenty of others who have been treated unfairly by Youinvest who could join in, and there are others who have complaints waiting to be heard at the Financial Ombudsman Service on the same issue.

it is important that we arrive at a position where investors can be confident that platforms can't just increase charges and charge investors to leave. Until that position is reached then any existing charging structure can become meaningless, if it can be changed at short notice and investors can't move away.

Many decent platforms have allowed free exits when increasing charges this time round so progress is being made, but it is still worth exposing the likes of Youinvest who aren't yet ready to treat customers fairly.

lejog2003

ffacoffipawb wrote: »

Received a letter from HL this morning stating that they have transferred my funds to AJ Bell via cheque. The amount quoted on the letter doesn't appear to have had the penalty charge applied, but I cannot see my SIPP account to confirm this as when I log in there is no account to see.

Shambles, I too had a letter confirming my ISA cheque was on its way to my new manager, but attached a printed final statement of the account. I think you need to write a sarcastic letter (assuming your login and messaging facility will too disappear shortly).

HL - aspiring to Waitrose pricing levels, apparently delivering Ryanair level customer service.

ffacoffipawb

lejog2003 wrote: »

Shambles, I too had a letter confirming my ISA cheque was on its way to my new manager, but attached a printed final statement of the account. I think you need to write a sarcastic letter (assuming your login and messaging facility will too disappear shortly).

HL - aspiring to Waitrose pricing levels, delivering Ryanair level customer service.

HL - aspiring to Waitrose pricing levels, delivering Aldi Parking Eye level customer service.

jamesd

Agree about Youinvest. Why transfer to a place that has a similar attitude to HL, coming from the very top? Just not worth it IMO.

socrates

Very informative thread - will be contacting ii on Monday

juliamarsh

diveleader wrote: »

Next step will be to confirm individual fund purchase charges, as these may not be the same as HL's discounted ones....

I compared the prices of all my funds the other day on the 2 platforms - and I have a lot - and in each and every case their prices were exactly the same, so I don't think you have anything to worry about there.

avfc1982

diveleader wrote: »

Next step will be to confirm individual fund purchase charges, as these may not be the same as HL's discounted ones....

This was the next step for me also which I think I'm almost there with. From what can tell the initial discounts are similar if not the same (I wouldn't invest in a fund with an upfront charge anyway, dilution levy being an exception) If you're investing in Vanguard there won't be a difference as you'll still have the upfront dilution levy both with II & HL.

From what I've read fund purchases via HL will remain free for SIPPs and ISAs, both one off purchases and via the regular investment option. On II you'll be paying £10 for one off fund purchase and £1.50 via regular investment, yes you get £80 worth of dealing credit (ISA only) which would cover a fair chunk, but anyone making regular investments into a number of funds across two or more linked accounts (e.g. you and other half) could find themselves with additional costs above the £80 (£20 per quarter)

If you have both SIPP and ISA then the £144 SIPP fee covers both accounts but you don't get any dealing credit meaning any fund purchases via one off or regular investment will incur additional fees.

I still need to get some reassurances from HL on their offer of a discounted platform charge. At present there's nothing to stop them putting it back to 0.45% after a few months because it's 'detrimental to HL' finding yourself back where you started but with an increase in exit fees because you've effectively accepted their revised conditions and charges by taking the offer of a reduced platform charge.

juliamarsh

avfc1982 wrote: »

This was the next step for me also which I think I'm almost there with. From what can tell the initial discounts are similar if not the same (I wouldn't invest in a fund with an upfront charge anyway, dilution levy being an exception) If you're investing in Vanguard there won't be a difference as you'll still have the upfront dilution levy both with II & HL.

From what I've read fund purchases via HL will remain free for SIPPs and ISAs, both one off purchases and via the regular investment option. On II you'll be paying £10 for one off fund purchase and £1.50 via regular investment, yes you get £80 worth of dealing credit (ISA only) which would cover a fair chunk, but anyone making regular investments into a number of funds across two or more linked accounts (e.g. you and other half) could find themselves with additional costs above the £80 (£20 per quarter)

If you have both SIPP and ISA then the £144 SIPP fee covers both accounts but you don't get any dealing credit meaning any fund purchases via one off or regular investment will incur additional fees.

I still need to get some reassurances from HL on their offer of a discounted platform charge. At present there's nothing to stop them putting it back to 0.45% after a few months because it's 'detrimental to HL' finding yourself back where you started but with an increase in exit fees because you've effectively accepted their revised conditions and charges by taking the offer of a reduced platform charge.

That's true, you could have higher dealing costs with II than with HL if you trade regularly, but their overall fees are so much less that you should still be better off. As far as the actual bid/offer price of the funds is concerned, the 2 platforms are exactly the same and for the funds I looked at neither appeared to charge any initial charge (except Aberdeen Emerging Markets which is soft closed and everybody charges 2%). As I understand it the £80 dealing credit can be applied to the ISA or the fund/sharedealing account in whatever proportions you like.

I too have my concerns over HL's discounted platform charge, as the way they have behaved over this matter of the new charges has destroyed all my trust in them and I no longer view them as an honourable organisation. I hold 3 funds with them that II don't trade so if I don't want to sell these then I will have no choice but to keep them with HL. At least with just 3 it would not cost too much to exit if they do renege on their promises. Do post here if they do give you any reassurances!

naedanger

SnowMan wrote: »

... any existing charging structure can become meaningless, if it can be changed ... and investors can't move away [freely] ...

This is the most succinct explanation of the issue that I have seen.