Closing an ISA

kaiesha18

Hi guys,

I just wanted some advice for a relative of mine. She has an ISA with Nationwide and is currently bed bound due to a nasty fall. She wants to withdraw some money from her ISA, with immediate affect because she has bills to pay but obviously cannot call in the branch. They won't do it over the phone.

Would it be within her rights to write them a letter asking for the cash or a cheque?

Vortigern

Possibly. It's worth a try.

My late father closed an ISA by writing to the bank (NatWest) and asking them to transfer the cash to his current account (also with NatWest).

jimjames

Really depends what the ISA is. If it's a fixed term one then worst case it may not be possible to withdraw until the end date.

McKneff

Does she have internet banking.


She could transfer money from the ISA to a current account and then pay bills by debit card over the phone or by faster payments through the internet banking.

kaiesha18

Thanks all.

She can't do it via internet banking sadly.

bowlhead99

If the ISA is one that can be operated remotely by letter rather than in person or securely online, and the terms and conditions are such that they will pay it in cash or cheque rather than transferring it to her nominated bank or building society account, then yes she can go ahead and write a letter. However, perhaps it is not any of the above. So - she has the right to send them a letter and ask anything she likes, but they presumably don't have to say yes - for all they know, the letter writer could be you, acting fraudulently.

The first thing to do would be to phone them again and ask if they will accept the postal method of account withdrawal or account closure. If not, and she has not kept a printed copy of all the terms (or has, but can't get to it because of being bedbound and nobody is in a position to go round and get them out for her) then she'll have to take their word for it. The sensible thing for her to do on the phone would be to ask what they suggest she does to access the cash. Ultimately they won't deny her access to her own funds if she can satisfactorily prove who she is but this may be tricky if she can't get to a branch.

Worst case scenario, she fills out a signed paper ISA transfer form with another ISA provider that accepts paper or telephone or internet account operations and within 2 weeks she will have the accounts with someone else without ever needing to speak to Nationwide. Meanwhile a friend or relative pays the bills.

kaiesha18

Thank you, she can take calls so it could be possible for them to phone and verify anything anyway.

Thanks for all the advice, really helpful.

That's not a bad idea, worst case scenario thats what she will have to do. I hadn't thought of suggesting that one.

kaiesha18

Just an update guys.

My relative spoke to the bank this morning and even though they can't close her bond over the phone or online they are prepared to make an acception. What they've done is sign her up for online banking (should take 3-5 days) and then once she logs in online she send nationwide a secure message asking them to close the bond, they can then do so.

Thanks for the help.