Transfers of S&S ISA from HL to II

Geoffo_M

masonic & le coup > I'm sorry you are experiencing problems very similar to myself, the only consolation is that we all seem to be in the same boat. Why is it such a mess, have they been caught on the hop by so many requests to transfer, what I can't understand is why the funds are transferred in little bits - I can see it taking a couple of weeks or so but I thought the whole account would then be transferred in one go - really a total mess. The cynic in me is wondering if it's on purpose so others read of our experiences & are then put off transferring.

masonic

Geoffo_M wrote: »

masonic & le coup > I'm sorry you are experiencing problems very similar to myself, the only consolation is that we all seem to be in the same boat. Why is it such a mess, have they been caught on the hop by so many requests to transfer, what I can't understand is why the funds are transferred in little bits - I can see it taking a couple of weeks or so but I thought the whole account would then be transferred in one go - really a total mess. The cynic in me is wondering if it's on purpose so others read of our experiences & are then put off transferring.

Sadly I think this is normal. Based on some of Malfesto's comments early in the 'Leaving HL without transfer charges' thread, 8 weeks was unrealistic, even under normal conditions.

I don't think it serves anyone (certainly not the receiving platform or fund managers), to make transfers difficult. Even the sending platform would presumably be harmed when the shoe is on the other foot and it wants to receive customers transfers. High exit charges are much better for putting people off transferring out.

Chickereeeee

When I transfered an ISA and trading account TO HL about 3 years ago, from Halifax, the process was speedy and simple. From memory, about three weeks start to finish, all funds, shares, ITs transferred at the same time.

I have an agreement with HL to wave transfer out fees (if I do it within a month of the letter), and have been waiting for the rush to die down a bit in the hope of the transfer time speeding up.

(Ironically, as I have a portfolio of mainly ITs, shares and ETFs now, HL charges are not too bad, but I feel I have to change to have the flexibility of buying funds without exorbitant charges in the future. And I have to do it soon to avoid their exorbitant exit charges... If the normal exit charges were not so high, I'd probably stay with HL and monitor future developments.)

Geoffo_M

Chickereeeee wrote: »

When I transfered an ISA and trading account TO HL about 3 years ago, from Halifax, the process was speedy and simple. From memory, about three weeks start to finish, all funds, shares, ITs transferred at the same time.

I have an agreement with HL to wave transfer out fees (if I do it within a month of the letter), and have been waiting for the rush to die down a bit in the hope of the transfer time speeding up.

(Ironically, as I have a portfolio of mainly ITs, shares and ETFs now, HL charges are not too bad, but I feel I have to change to have the flexibility of buying funds without exorbitant charges in the future. And I have to do it soon to avoid their exorbitant exit charges... If the normal exit charges were not so high, I'd probably stay with HL and monitor future developments.)

You might be luckier & it might have all died down by the time you transfer - it's all quite a mess at the moment but I suppose you should be prepared for a wait. I don't mind the wait, though it's annoying if you want to trade - what worries me is if all funds don't arrive at their intended destination

masonic

It's going to be a bit of a lottery dependent on which funds you are invested in. For example, there was a difference of about a month between my first fund (Vanguard) and last fund (Blackrock) transferring and I can't believe they weren't all sent the paperwork at the same time - so it could have been over for me within the 8 week estimate if all of my unit trust managers were as efficient as Vanguard.

It may also be the case that the unit trust managers save up all of their requests to process in aggregate once a month. After all, the holdings are actually being re-registered to the new platform, not the beneficiary personally.

I suspect the worst is still to come. Several of us initiated a transfer very soon after the new fees announcement in mid-January, but I'd imagine there would have been a bigger spike in transfer requests during March (since HL asked many to wait and see the full details of their pricing before deciding), and I think there is probably another spike in transfers taking place now, after people actually see the fees deducted from their accounts.

vectistim

I did have nine funds with HL, one was converted into cash and transferred to Fidelity pretty much straight away. Nothing else happened for the next five weeks, I then sent a message asking what was going on - four funds were then transferred and now show up on both platforms. It's now been a further three/four weeks and nothing else has happened yet. (Like others I'm tempted to try cashing in the funds on HL that now show on Fidelity to see what happens)

Geoffo_M

masonic wrote: »

It's going to be a bit of a lottery dependent on which funds you are invested in. For example, there was a difference of about a month between my first fund (Vanguard) and last fund (Blackrock) transferring and I can't believe they weren't all sent the paperwork at the same time - so it could have been over for me within the 8 week estimate if all of my unit trust managers were as efficient as Vanguard.

It may also be the case that the unit trust managers save up all of their requests to process in aggregate once a month. After all, the holdings are actually being re-registered to the new platform, not the beneficiary personally.

That doesn't really stand up in my case, I had two funds (AXA Framlington Biotech & Neptune Japan Opps) which I already held but then switched and added more into just before my transfer request. My original units in both funds have transferred through ok but neither of those last 2 switches have appeared in II yet. Really odd - and that's from 6th February. Can't be the fund managers or the funds can it?

amandajc

Interesting article in IC on the subject of slow transfers, including a list of brokers that can/may use the new "fast transfer" technology if you request it. Unfortunately Interactive Investor doesn't appear to be on it.

masonic

Geoffo_M wrote: »

That doesn't really stand up in my case, I had two funds (AXA Framlington Biotech & Neptune Japan Opps) which I already held but then switched and added more into just before my transfer request. My original units in both funds have transferred through ok but neither of those last 2 switches have appeared in II yet. Really odd - and that's from 6th February. Can't be the fund managers or the funds can it?

I am certainly *not* contending that HL or II are operating efficiently (see post #31 for my comments on how both platforms appear to have contributed to delays), but it is pretty clear to me that the unit trust managers are adding their own significant but variable delay into the process. With the right pick of funds, you could potentially transfer up to a month faster than someone else, all other things being equal.

Coming back to your point about the deals you placed immediately prior to your transfer, did you wait until after the settlement date (usually 4 working days after the contract date) to initiate the transfer, or could the new units have been unsettled at the point the transfer process kicked off?

I cut it pretty close myself, placing a fund switch on the same day I posted my transfer form to II, but because HL sent me its own form to confirm the transfer a few days later, I was past the settlement date by the time HL confirmed it was in the process of transferring my holdings to II and I didn't suffer any split holdings. I suspect if I had been even a couple of days earlier with the transfer forms HL would have prepared paperwork based on my original holdings and I'd be in the same boat as others who have dealt during their transfer.

masonic

amandajc wrote: »

Interesting article in IC on the subject of slow transfers, including a list of brokers that can/may use the new "fast transfer" technology if you request it. Unfortunately Interactive Investor doesn't appear to be on it.

That is very interesting. It's especially odd that the article suggests this technology is not the preferred means of transfer even if both brokers support it, although I suppose it took some banks a couple of years to start routinely using faster payments when that was introduced.