Investment fees?

Vortigern

r_i_c wrote: »

Is this practicable please - can I suggest this to HL?

what I would suggest is that you pay enough cash into your fund and share account to cover the coming months fees for all your HL accounts. Just one months fees - not HL's suggested minimum cash balance.

Discuss this with HL. Tell them you expect your income to cover the fees in future.

This will buy you some time to consult your IFA.

colsten

Vortigern wrote: »

Discuss this with HL. Tell them you expect your income to cover the fees in future.

what's there to discuss with HL? They don't mind how you pay your fees, and they don't need to know in advance.

Once they come to collecting the monthly charge, they will either take it from cash, or they will sell a sufficient amount of the investment holdings. This all happens automatically.

r_i_c

bowlhead99 wrote: »

If I understand you correctly from the earlier posts on this thread you seem to have 4 accounts with HL:

Your own SIPP pension;
Your own ISA;
A general "Fund & Share" account which isn't in any kind of tax wrapper;
The residue from a SIPP income drawdown account.

Is this last account part of your own SIPP which you have put into drawdown to take a pension income from? In other words, money that you pay income tax on as you receive?

Or is it simply the dregs left over from a pension account held by your mother or father, but now it has been given to you to spend how you like...

If it is just the latter, and it's just money sitting around in a HL account which you acquired and which now belongs to you, then there is no reason why you shouldn't use it to pay fees. However, if it's in a separate account, presumably HL won't know that you want to use it for the fees you're incurring on your main fund account. So, you would have to ask them to transfer the money over before the fees become due; you might as well ask them to close that account so that you have fewer pots of money or assets to manage.

The residue from the SIPP income drawdown account dates back to May when my mother died and I was in desperate financial straits. Through the kind advice I received on this forum I was able to draw down £10k from my SIPP and receive a £2k tax free, lump sum. Without this sum, myself, mum's property (costs) and mum's little dog would have financially crashed.

The residue from the 10k drawdown has not been claimed as pension.

r_i_c

Originally Posted by r_i_c:

I have a SIPP Income Drawdown account of some £7k doing basically nothing I think. Can I not devote some of this to my cash float which is non-existent at the moment?

r_i_c wrote: »

Is this practicable please - can I suggest this to HL?

This amount doesn't seem to be doing anything - can I use it for short or long-term fee payment, certainly until I have seen the IFA please?

Many thanks.

r_i_c

colsten wrote: »

what's there to discuss with HL? They don't mind how you pay your fees, and they don't need to know in advance.

Once they come to collecting the monthly charge, they will either take it from cash, or they will sell a sufficient amount of the investment holdings. This all happens automatically.

Thanks, Post No:75 refers.

bowlhead99

r_i_c wrote: »

The residue from the SIPP income drawdown account dates back to May when my mother died and I was in desperate financial straits. Through the kind advice I received on this forum I was able to draw down £10k from my SIPP and receive a £2k tax free, lump sum. Without this sum, myself, mum's property (costs) and mum's little dog would have financially crashed.

The residue from the 10k drawdown has not been claimed as pension.

So basically (without wanting to go and check all your other posting history) you put 10k into drawdown, away from your main SIPP funds, and out of that you took about £2k from it as a tax free lump sum. You did not remove the rest of it (which would be taxable at your marginal rate) and it is sitting around in the account. Do I have that right? Then, either that amount is invested in something within the account (and will either grow or shrink over time with the markets) or it is sitting in cash doing nothing; I'm not clear.

But yes if it is your money there is nothing to stop you drawing it out, paying whatever tax is necessary (may be nil if you have not got much other income this year) and using it to pay your platform fees or buy yourself something nice.

Alternatively you could sell some of the funds in the main fund account, to get money that way.

If you do nothing, HL will sell some of the funds in the main fund account, to get money that way. But because they are doing it when forced into it, rather than have you play nice and give them the fee, they will charge you for it. So that outcome is best avoided.

r_i_c

bowlhead99 wrote: »

So basically (without wanting to go and check all your other posting history) you put 10k into drawdown, away from your main SIPP funds, and out of that you took about £2k from it as a tax free lump sum. You did not remove the rest of it (which would be taxable at your marginal rate) and it is sitting around in the account. Do I have that right? Then, either that amount is invested in something within the account (and will either grow or shrink over time with the markets) or it is sitting in cash doing nothing; I'm not clear.

But yes if it is your money there is nothing to stop you drawing it out, paying whatever tax is necessary (may be nil if you have not got much other income this year) and using it to pay your platform fees or buy yourself something nice.

What I desire is a reasonably secure financial future into my final years, taking possible infirmity into consideration as well.

Alternatively you could sell some of the funds in the main fund account, to get money that way.

If you do nothing, HL will sell some of the funds in the main fund account, to get money that way. But because they are doing it when forced into it, rather than have you play nice and give them the fee, they will charge you for it. So that outcome is best avoided.

Indeed, I will now reply to HL suggesting I access - however that may be - the residue drawdown account in respect of outstanding fees.

Thank you.

r_i_c

Update. The SIPP Drawdown account is still an aspect of the HL Vantage Fund & Share Account (Acc) and seems to be doing quite well, so I have made a direct top-up to cover the current fee and hopefully next month's fee as well, by which time I should have a clearer idea of where my investments are going, care of the IFA.

Many thanks.

xylophone

The SIPP Drawdown account is still an aspect of the HL Vantage Fund & Share Account (Acc) and seems to be doing quite well,

This makes no sense at all.

Do see that IFA as soon as you can.

jem16

r_i_c wrote: »

Update. The SIPP Drawdown account is still an aspect of the HL Vantage Fund & Share Account (Acc)

I think you have misunderstood what HL have told you.

As far as I understand it, your ISA, SIPP and Vantage Fund & Share accounts are all liable for the same fee but are not as such one and the same. Your Drawdown account is still part of your Vantage SIPP - it certainly hasn't gone into your Vantage Fund & Share Account.

and seems to be doing quite well,

So are you saying that your Drawdown account is still invested in a fund or funds?

It's doing "quite well" relevant to what?

so I have made a direct top-up to cover the current fee and hopefully next month's fee as well, by which time I should have a clearer idea of where my investments are going, care of the IFA.

Many thanks.

Probably best to do for the moment.

When you go to see the IFA it might be best to take along a screen shot of exactly how things are set up within HL as I fear you may, unintentionally, mislead the IFA as you're not really understanding what you have here.