Leaving HL without transfer charges

macmuck

Thanks for that Gadget...

Ive written a secure message using the template and have also mentioned that....had I known about the charges at the beg of Dec, when we joined, I would not have joined in the first place.

I'm wondering if therefore my set-up charges could be chased because of this? any thoughts anyone?

Chris2000

HL have responded to my complaint about increased platform charges on my holding of passive funds.

They've made a retention offer, but more important they've offered to waive exit fees and will not apply the new charging structure from 1st March if I initiate a transfer out within 1 month. I consider this a fair outcome.

There is also some spiel about how they've taken legal advice and there would be nothing wrong with charging the exit fee if they wanted to. I don't know what value they think that's adding, but it certainly doesn't make me feel more inclined to stay.

gadgetmind

Chris2000 wrote: »

There is also some spiel about how they've taken legal advice and there would be nothing wrong with charging the exit fee if they wanted to.

As the FSO have told platforms INCLUDING HL that this isn't acceptable, then they really have wasted the money they spent on legal advice. They need to get, 1) better advice, 2) a clue.

josephjago

Just wanted to add my thanks to all here who have assisted me with their expertise and encouragement to fight against HL's unjustifiable exit charges. I have received a secure message today offering 0.25% to my wife and I who hold in excess of 800k over 7 accounts with them. As with others, this offer is too little too late, the damage has been done and my trust in them is beyond repair. I will not be taking up their offer. Thanks again to all of you, the power of the internet is amazing!

socrates

Moving on to the next stage - where is everybody moving to?

iii for me

ffacoffipawb

socrates wrote: »

Moving on to the next stage - where is everybody moving to?

iii for me

AJ Bell Youinvest, I had a bigger SIPP with them anyway.

gadgetmind

I'm moving the BestInvest as they have done the honourable thing (a concept HL couldn't begin to comprehend) and have kept their fixed Custody Feeds for customers who use equity/ETF investments.

HL's responses throughout have shown them to be arrogant, ignorant and self-serving. I choose to take my business elsewhere and heartily recommend everyone else does the same.

YorkBluenose

I emailed in the obligatory "complaint" letter re. waiving of exit fees on Wednesday. Received response today, offering me a reduced charge of 0.2% for everything held under my single Client Reference Number, which covers my SIPP (198k) and ISA (75k).

I've got some pondering to do, a little more research, etc. And I need to confirm some of the finer points with HL. But my initial thought is to stay, simply to avoid the hassle of switching.

gadgetmind

0.2% is reasonable (depends on size of pot) and IKWYM about hassle, but it's always worth a look around.

jamesd

HL have also offered some people a cap on the amount that the charge will be levied on, not just a discounted rate. You might counter-offer with a request for a cap. "I'll accept if you also cap the amount it will be charged on at xxx".

The reason I mention a cap is that some places have notably lower caps, like the proposed £80,000 at Trustnet Direct that is based on combined value also. They have a trading charge for funds but it's low enough and may be a good deal when it's available. There are also a range of others in comparison tables. You've ample competitive reason to ask for a cap given the alternatives available to you.

Around 65% of their customers have less than £25,000 with them so a cap can still leave your account more profitable for them than the typical customer. If you normally hold cash that's worth a mention since they currently make about 0.8-0.9% on it, less than they usually do. A small amount of cash compared to the size of your pot could easily make your account much more profitable for them than an average customer given that the current cash margin is about twice their new standard charge for investments.

If you have more money that you plan to transfer in or plan to add, no harm to mention that since part of the value for them is increased amounts invested that increase their profitability and negotiating power.