How to open a SIPP with HL?

WorldCitizen

Hello,
I have tried to open a SIPP with Hargreaves Lansdown but it looks like it's impossible to do it online... the web page appears with info that I need to call them or download the form, to fill it in and send via post TOGETHER with supportive documents (copy of passport, employment docs etc.).
Is that something unusual or standard requirement?
Why I am surprised - because recently I have opened a LISA with A J Bell platform and there wasn't any problems doing it.

greenglide

They do seem to do things in odd ways!

I wanted to open a dealing account and a S&S ISA with them to transfer in accounts currently with TD. Normally the platforms tend to have a button to press for "open an account". With H&L if you want to transfer and open an account they have a screen from which you apply for an application form.

Eventually I opened a dealing account, had to deposit some money to do this but then I could do the transfer of the ISA and the dealing account online.

jamesperrett

I don't remember having to do all that when I opened my SIPP with them a few months ago but I would guess that if they can't confirm your identity from the details you give them they need further proof.

WorldCitizen

It is strange... Can they have problems with the identity confirmation because there wasn't the option to add the flat number in the address? or because I don't work but am a student?

PotentialEnergy

Can I ask what draws you to HL? They seem very expensive once your savings build up as they charge on a %ge basis.
Interactive Investor[II] and AJBell and X-O seem far more cost-effective. X-O don't facilitate Unit Trust/OEIC investment but the other 2 do. II charge a flat fee for investing in OEICs and that is it.
Yesterday's Telegraph money showed how with a £100K portfolio an Interactive ISA would cost £100 and a SIPP £220. An HL ISA would cost £465 whilst a SIPP would be £510.

greenglide

I am using them to hold no ITs so unwrapped (which is most, at present) there is no charge and S&S ISA is .45% which is capped at £45 pa. For a holding of around £20,000 in the ISA and £45,000 unwrapped I can live with.

I have holdings with youinvest as well who I am happy with but don't want all my eggs in one basket.

WorldCitizen

PotentialEnergy wrote: »

Can I ask what draws you to HL?

Compared to A J Bell - HL doesn't have the funds buying/selling charge (A J Bell has £1.50).
If I will invest every month even a little amount, I still will need to pay £1.50 every time for my money to become invested.
I opened a LISA with A J Bell recently and have been charged this £1.50.
I understand HL has management charges 0.45% and A J Bell has 0.25%. But take into account the buying charge I think it will be more cost effective (after first couple of thousands invested) to have a SIPP with HL .
Do I look at wrong direction? Any thoughts?
P.S. I have opened an ISA with Cavendish (Fidelity) and I don't like their website. A J Bell is better.

WorldCitizen

And I never heard about Interactive Investor[II] and X-O. I need to see what is it.

MichelleUK

WorldCitizen wrote: »

Compared to A J Bell - HL doesn't have the funds buying/selling charge (A J Bell has £1.50).
If I will invest every month even a little amount, I still will need to pay £1.50 every time for my money to become invested.
I opened a LISA with A J Bell recently and have been charged this £1.50.
I understand HL has management charges 0.45% and A J Bell has 0.25%. But take into account the buying charge I think it will be more cost effective (after first couple of thousands invested) to have a SIPP with HL .
Do I look at wrong direction? Any thoughts?
P.S. I have opened an ISA with Cavendish (Fidelity) and I don't like their website. A J Bell is better.

No, you are correct, HL is one of the cheapest when you are starting a SIPP from nothing.

The flat fee platforms are too expensive to start at zero and most of the percentage fees also have a fixed SIPP fee too! HL are quite clever as I think they hope that once you get to the point when they are too expensive, you may not want to be bothered to move!

TrustyOven

WorldCitizen wrote: »

Hello,
I have tried to open a SIPP with Hargreaves Lansdown but it looks like it's impossible to do it online... the web page appears with info that I need to call them or download the form, to fill it in and send via post TOGETHER with supportive documents (copy of passport, employment docs etc.).
Is that something unusual or standard requirement?
Why I am surprised - because recently I have opened a LISA with A J Bell platform and there wasn't any problems doing it.

Nope, my HL SIPP opened online with no issues.
Perhaps they are failing to validate your identity because of some weird edge case - like not on electoral roll or maybe a US citizen?

TrustyOven

PotentialEnergy wrote: »

Can I ask what draws you to HL? They seem very expensive once your savings build up as they charge on a %ge basis.
Interactive Investor[II] and AJBell and X-O seem far more cost-effective. X-O don't facilitate Unit Trust/OEIC investment but the other 2 do. II charge a flat fee for investing in OEICs and that is it.
Yesterday's Telegraph money showed how with a £100K portfolio an Interactive ISA would cost £100 and a SIPP £220. An HL ISA would cost £465 whilst a SIPP would be £510.

Doesn't really answer OP's question, does it?

II are more expensive for me than HL. £50pa for HL, £216pa for II.