Halifax to Santander transfer, £19500 has disappeared.

smjxm09

Confirmation received on March 28th from the Halifax that a £19500 ISA fund would transfer on 18th April, which was the maturity date on the account. The Halifax account was closed by the Halifax but the money has not turned up in an existing Santander account.

On contacting Santander tonight they said it can take up to 15 days for the transfer to complete but surely this can't be right when several weeks notice was given.

Is my wife losing interest on the money, as it is neither with the Halifax or Santander

YorkshireBoy

It wouldn't transfer on Friday 18th April as that was Good Friday, so it would have transferred yesterday, Tuesday 22nd April.


Been a while since I transferred an ISA, but do they still send the funds by cheque or is it by electronic payment these days?

Scarpacci

Some transfers are still by cheque, though most are by electronic payments. Halifax -> Santander would likely be electronic, since it's generally the bigger banks who now do this electronically. Even electronically it's going to take a few days to show up.

The transfer, in cases of fixed-rate ISAs, does not start until the day the money is free. Submitting it weeks in advance doesn't change this. The transfer request stays pended until maturity, at which point the transfer process begins. Santander will be paying interest from the date the transfer initiates (the end of maturity), so there will be no loss of internet. In short, it's progressing as expected and there's nothing to worry about.

smjxm09

Thanks for the info. I have bank accounts with the Halifax and Santander and transfers between the two take around 10 seconds. I was expecting the same with the ISA.

eskbanker

smjxm09 wrote: »

Thanks for the info. I have bank accounts with the Halifax and Santander and transfers between the two take around 10 seconds. I was expecting the same with the ISA.

That's where you went wrong then! ISA transfers are a more complex process than simple routine money transfers, given the requirement to comply with HMRC rules and regulations, hence the 15 day timescale that Santander told you about (as also covered at http://www.moneysavingexpert.com/savings/cash-isa-transfers and elsewhere). That's not to say it couldn't ever be done quicker, but that's a different story!

smjxm09

Well the money finally transfered over but I appear to have lost 5 days interest.

YorkshireBoy

smjxm09 wrote: »

Well the money finally transfered over but I appear to have lost 5 days interest.

How do you know that?

Archi_Bald

smjxm09 wrote: »

Well the money finally transfered over but I appear to have lost 5 days interest.

This should not happen. Ask Santander to explain, may be you misunderstood.

4
Your new provider will backdate interest to the first day where interest no longer accrues on the funds being transferred from your old ISA

https://www.bba.org.uk/wp-content/uploads/2011/07/ISA_Transfer_Timeline-1.pdf

YorkshireBoy

Archi_Bald wrote: »

Ask Santander to explain

They explain on their website...

The interest on the amount transferred into Santander will be backdated to the date the Cash ISA was closed with your previous provider.


http://www.santander.co.uk/csgs/Satellite?pagename=Abbeycom%2FGSPageDetail%2FWC_ACOM_PrintA&canal=CABBEYCOM&empr=Abbeycom&leng=en_GB&cid=1210622974830#I

See the 3rd last FAQ.

Snowbelle

YorkshireBoy wrote: »

How do you know that?

I would also like to know this. I recently transferred a matured ISA to a different provider and it took 3days - since interest wont be paid for a year I wont be able to check and probably by then I will have forgotten about it.

YorkshireBoy

Snowbelle wrote: »

I would also like to know this.

Did you read Archie's post above? That's all you need to "know" isn't it?

But if you say who you've transferred to I'm sure someone will point you to the information on your provider's website. Or maybe you could look yourself, now you know what to look for?