Dot ComUnity Credit Union - ISA

mt77

hgt wrote: »

Well I've got all the forms here signed and ready to go.... hovever I just haven't got the courage to put them in the post yet!

I think I'm nervous as I've never had dealings with a credit union before, and I'm not sure how easy it will be to deal with them if things go wrong - were talking quite an amount on money here!

Also it concerns me how the account description and Ts&Cs are so vague that we're having to e-mail for clarification. I'd be far happier if the conditions specifically stated how interest would be paid etc.

Also even though the chap at the end of the e-mail has been very friendly, there are spelling and grammar mistakes all over their website (even in the PDF's), which doesn't exactly inspire me with confidence.

At the moment I'm thinking maybe stick with what I know at Virgin Money even though it means considerably less interest :-(

These are exactly my sentiments too. Never had dealings with CU's myself either. I am thinking of just walking away from this hassle and taking the 'safe' bank route. For me it is probably Bank of East Asia, or Santander 2 year fix.

Never thought this thread would gain so much interest.

MT

hgt

The thing is, it's such a shame as this ISA at DotComUnity seems such a good deal and I like the idea of a CU and what they stand for etc... If only they would update their TCs&Cs to avoid any confusion/doubt.... then I'd jump straight in.

The 3% rate itselt doesn't even seem straightforward... nowhere in the documentation does it confirm that the rate is fixed (it could be variable for all we know). When I e-mailed to confirm, I was simply told “the rate is 3%“. I get that it's 3% now.... but for how long?!

But at the moment I'm not sure if my concerns and the hassle of opening the account outweigh the extra interest I'd gain over a conventional ISA provider.

I've got a few more days left to decide whether to fund my FRISA at Virgin Money, so will have to have a good think on this one!

hgt

I've just e-mailed DotComUnity again. They appear to have confirmed that the 3% rate is indeed fixed until the 1st anniversary of the account. And have also confirmed that interested is added to the ISA account by default.

So, application forms are now in the post..... too late to change my mind now!

DesG

Did anyone ask about the increase in limit in July? That seems to be the only unanswered question now?

Archi_Bald

I did, and they said yes, from July 1 you can use the increased allowance.

Ignoring the niggles about the T&Cs and the website, and the forms and the postal applications, I have jumped in right behind hgt and posted my ISA transfer request. I wouldn't have done it if there wasn't the FSCS guarantee but then I would never deal with any non-FSCS deposit taker, anyway.

I am not sure yet whether I will use any of my allowance for cash this year but if I did, next step would be to figure out how to actually make a deposit into the ISA. Anyone been able to figure that out yet? You can do a faster transfer into the basic share account that you must hold, but I have no idea how to make a deposit into the ISA.

hgt

At least there are two of us to take the plunge Archi Bald.... We'll have to catch up on here in 12 months to see how we got on!

mt77

Archi_Bald wrote: »

I did, and they said yes, from July 1 you can use the increased allowance.

Ignoring the niggles about the T&Cs and the website, and the forms and the postal applications, I have jumped in right behind hgt and posted my ISA transfer request. I wouldn't have done it if there wasn't the FSCS guarantee but then I would never deal with any non-FSCS deposit taker, anyway.

I am not sure yet whether I will use any of my allowance for cash this year but if I did, next step would be to figure out how to actually make a deposit into the ISA. Anyone been able to figure that out yet? You can do a faster transfer into the basic share account that you must hold, but I have no idea how to make a deposit into the ISA.

The person who I spoke to did mention about having online access to member's area where you can view your account.

Still undecided about this, I might decide on a flip of a coin.

At least it may be beneficial to the people who have applied for ISA from this thread. I hope it all works well for you.

Archi_Bald

hgt wrote: »

At least there are two of us to take the plunge Archi Bald.... We'll have to catch up on here in 12 months to see how we got on!

Don't take this the wrong way but let's hope we have no reason to talk before the 12 months are up . I am rather confident that it was a good choice.

MRMX9

I have opened an ISA account with them and have found the process very efficient. Bar ISA transfer forms – which have to be sent by post (as is common practice anyway) – you can arrange everything else by email and online.

I was able to activate my account online after filling in the online application form. You join at a reduced annual membership rate of £12 – and must pay £5 into a share account – which appeared in my online account the day after I transferred the money from my bank account.

The 3% fixed rate ISA is fixed for one year – but you can withdraw funds at 90 days notice so unlike most other fixed rate accounts you can access it before the fixed rate ends. Based on what I have been informed the ISA limits for 2014-15 apply (£5,940 max at present) – and will be raised to £15k from 1 July – but you can transfer in prior years ISAs without limit although they normally limit investments to £40,000 before needing trustee approval.

Membership also gives you £15k of life insurance, access to personal loans if required and other services. You also get to support a credit union doing lots of good work helping small businesses, carers and those with disabilities/learning difficulties. Plus the £5 share account allows you to share in any dividend the credit union pays out annually.

Clearly it’s a small organisation doing good things – so why not give it a go. As has been stated it operates under the £85k savings limit protection scheme as a registered credit union. And your funds will go to help people who really need it – not bank shareholders or building society directors!

hgt

MRMX9 wrote: »

I have opened an ISA account with them and have found the process very efficient. Bar ISA transfer forms – which have to be sent by post (as is common practice anyway) – you can arrange everything else by email and online.

Thanks for this MRMX9, I feel a lot better about my decision to open an ISA now :-) It's good to praise from an existing customer.