Dot ComUnity Credit Union - ISA

FOREVER21

Well surprise, surprise Rob did not ring me today.

I rang them only to be told " Sorry he is not Available".
The person I spoke to said he could not update me on the position, but said another message would be passed to Rob to contact me.

10 Pm now I wonder if he might yet ring!!

Looks like we wil have wait and see what comes out of the meeting to morrow, that's if they get around to telling us.

Peperami

If I tell them I want to move my ISA to another provider on maturity and they inform me, as they have others, that I can't due to restrictions, what exactly happens to it between maturity and when they lift the restrictions. Is it earning interest? The letter sort of says if we don't accept the new NISA it will become unwrapped.


If I do nothing and let it convert to the 2015 NISA dividend based ISA. Can I just transfer out when the restrictions are lifted?
It's difficult to tell from the information in the letter. I certainly don't want to be tied in for another year.

darren72

Peperami wrote: »

If I do nothing and let it convert to the 2015 NISA dividend based ISA. Can I just transfer out when the restrictions are lifted?
It's difficult to tell from the information in the letter. I certainly don't want to be tied in for another year.

If you contact them to say you don't accept the new terms then I would assume that they would need to continue paying you the same rate until they can transfer it out !??

I certainly won't be accepting the dividend based ISA.

MARTYM8`

Peperami wrote: »

If I tell them I want to move my ISA to another provider on maturity and they inform me, as they have others, that I can't due to restrictions, what exactly happens to it between maturity and when they lift the restrictions. Is it earning interest? The letter sort of says if we don't accept the new NISA it will become unwrapped.


If I do nothing and let it convert to the 2015 NISA dividend based ISA. Can I just transfer out when the restrictions are lifted?
It's difficult to tell from the information in the letter. I certainly don't want to be tied in for another year.

The maturity letter refers to you investing for a further 12 months – unless you object to the funds being rolled over into the new dividend based account.

Given the absolute total absence of any terms and conditions the letter is very unclear whether or not you can then withdraw the funds without penalty under the new terms before the 12 months is up? Given this isn’t an interest bearing account but a dividend based account what penalty applies? 90 days loss of interest is of course zero as its not interest bearing – but I doubt they will operate on that basis knowing them?

Its just very murky and another reason not to agree to move your funds into the maturity account – because you have no idea what basis you are investing in because there are no terms and conditions!

Peperami

Thanks for the replies. I really wish they were clearer about the options. It's probably best I get in touch with them to reject their offer then.

MARTYM8`

Peperami wrote: »

Thanks for the replies. I really wish they were clearer about the options. It's probably best I get in touch with them to reject their offer then.

Yes – and don’t forget to submit an ISA transfer request to your new provider ASAP (and certainly before 1 May).

As has been said before pick a large bank or building society who are more like to move quickly and promptly.

I am sure it will all work out in the end – but it may take a little time.

colsten

Peperami wrote: »

Thanks for the replies. I really wish they were clearer about the options. It's probably best I get in touch with them to reject their offer then.

Definitely let the credit union know in writing that you do not agree to the new terms - mainly because those new terms are actually unavailable, and the little we know about them sounds entirely uncompelling.

Then put an ISA transfer request in at a reputable firm - Nationwide, Santander, any high street name will do. Your new ISA provider will pay you interest even if there is an undue delay in the transfer.

This is from the BBA guidelines for cash ISA transfers:

Your new provider will backdate interest to the first day where interest no longer accrues on the funds being transferred from your old ISA. In addition, your new provider will start paying the new interest rate from day 16 at the latest regardless of whether the transfer has completed within the standard 15 business day timeline (pended cases excepted).

I know that these guidelines are based on HMRC Guidance to ISA Managers, so the law is entirely on your side. A transfer request is your insurance to keeping your ISA wrapper, and to getting uninterrupted interest, albeit at a lower rate than the DCU one.

Keep the faith, we cannot lose as long as we reject the unspecified new T&Cs of DCU as long as we put ISA transfer requests in with a reputable ISA provider.

darren72

I'm in the situation where mine doesn't mature until 6th June - Is it possible to put in my transfer request now and state 'On Maturity' or would I be penalised for that ?

kiis102

I guess the restrictions weren't removed today then? Guessing the meeting went ahead?

colsten

darren72 wrote: »

I'm in the situation where mine doesn't mature until 6th June - Is it possible to put in my transfer request now and state 'On Maturity' or would I be penalised for that ?

All transfer request forms allow you to specify that you don't want the transfer to take place before maturity.

You can submit your transfer request straight away and you won't be penalised if you tick the right box. And if anyone would try to penalise you, you'd have a winning compensation case. Keep a copy of your completed transfer request for your records