Britannia Prime Fixed Rate Cash ISA Transfer Penalty

Nailsea

I decided to move my 2012/13 and 2013/14 cash isas from Britannia and, although this is not being done in year, I have been told they are deducting £150.62 as a penalty before transfer. Has anyone else had the same experience?

Archi_Bald

What do your T&Cs say about transfers? What are the fees for?

PeacefulWaters

Most fixed rate ISAs apply a penalty for closure or withdrawal.

You are closing the accounts (albeit by the ISA transfer process).

What rates are you moving from? And too?

Nailsea

I have checked and didn't realise I had a two year fixed rate...only had one year ISAs before. The terms say there is a 180 day interest penalty. i should have checked first but just changed bank from the Co-operative (after 31 years) and wanted to move ISAs as well. I was going to leave most other savings with Co-op/Britannia but will move them as well now in the light of this charge.

badger09

Nailsea wrote: »

I have checked and didn't realise I had a two year fixed rate...only had one year ISAs before. The terms say there is a 180 day interest penalty. i should have checked first but just changed bank from the Co-operative (after 31 years) and wanted to move ISAs as well. I was going to leave most other savings with Co-op/Britannia but will move them as well now in the light of this charge.

As PeacefulWaters said, most (all I think) Fixed Rate/Fixed Term ISAs have a penalty for early withdrawal.

Presumably, you were happy with the rates offered when you subscribed to those ISAs. Unless you have found a much better rate elsewhere, why on earth are you moving them?

If it is because of the problems surrounding Co-op bank - please remember, its as safe a home for your savings as any other bank covered by the FSCS up to £85k

jimjames

Nailsea wrote: »

I was going to leave most other savings with Co-op/Britannia but will move them as well now in the light of this charge.

Why would you move more money as a result of being charged?

Surely knowing the charge would mean you move less or none to avoid being penalised and losing money?

innovate

If there are no further penalties, moving money from the COOP to elsewhere could be a very sensible move since their interest rates are amongst the worst.