Negotiating lower platform fee with Hargreaves Lansdown

sebtomato

Well, I sent a polite message to Hargreaves Lansdown to see if some negociation on fees was possible a week ago and...nothing back, not even a reply.

Based on similar experiences reported on this thread, I was not expecting anything anyway, but not even replying to customer messages is poor. Doesn't make me feel valued as a customer, and makes me wonder why I stuck with them all this years.

Alexland

For a large S&S ISA then iWeb (for adhoc trades) or Halifax Share Dealing (for regular trades) are very competitive. Or Jarvis X-O for exchange traded assets only.

For a large SIPP in exchange traded assets then the Fidelity's capped £45 is great (especially with the cashback promotion) or for funds either iWeb/Halifax Share Dealing or Interactive Investor.

Do the maths and vote with your feet.

Alex

quirkydeptless

Alexland wrote: »

Do the maths and vote with your feet.
Alex

ETF cap drops from £200 to £45 :think:

Trades drop from £11.95 to £10 :think:

Re-invest changes from % to fixed £1.50 :undecided

Apply to transfer by 27 March 2020 and receive £50 to £1,500 cashback? :money:

SIPP still with H&L :doh:

sebtomato

Alexland wrote: »

Do the maths and vote with your feet.

Alex

After chasing them several times, they finally replied with some standard text on why they are better than the competition and why their fees are higher. Poor really. No offer whatsoever to retain existing customers.

I therefore "voted with my feet" and moved a significant part of my investments elsewhere. Soon after, their share price dropped by 8%. Coincidence? I don't think so...

Thrugelmir

sebtomato wrote: »

After chasing them several times, they finally replied with some standard text on why they are better than the competition and why their fees are higher. Poor really. No offer whatsoever to retain existing customers.

That's the nature of business. A race to the bottom more often or not results in a poorer quality of overall service.

Alexland

But more often than not inertia causes people to stick with an uncompetitive service which isn't actually better. My experience when our LISAs were with HL was that they were pretty average. AJ Bell seem just as good and their trades and capped fee is lower.

EdSwippet

Thrugelmir wrote: »

That's the nature of business. A race to the bottom more often or not results in a poorer quality of overall service.

When it comes to fund holdings, Hargreaves Lansdown have by far the highest percentage platform fee, and to my knowledge have never reduced it, nor almost any other(*) of their platform fees.

If there is any form of 'race to the bottom' occurring, not only is it running at an imperceptibly snail-like pace, but Hargreaves Lansdown are not participating in it.


(*) Aside from transfer out fees late last year, and this only to forestall action by the FCA and use marketing spin to then pitch this as a move to the moral high-ground.

Thrugelmir

EdSwippet wrote: »

If there is any form of 'race to the bottom' occurring, not only is it running at an imperceptibly snail-like pace, but Hargreaves Lansdown are not participating in it.

My comment was of a more general business nature.

xylophone

and to my knowledge have never reduced it, nor almost any other(*) of their platform fees.

Not on a general basis but several years ago, at the time when they had to change over to clean pricing (so people exiting), they did make offers to individual investors.

https://forums.moneysavingexpert.com/discussion/4889890/hl-customer-charges-custom-offers

I know somebody who benefited so stayed with HL and is still benefiting.

I left HL to go to II - subsequently I transferred to iWeb - this suits me as I trade infrequently.

kinger101

sebtomato wrote: »

I therefore "voted with my feet" and moved a significant part of my investments elsewhere. Soon after, their share price dropped by 8%. Coincidence? I don't think so...

Perhaps that comment was tongue in cheek, but I suspect it had more to do with a Peter Hargreaves selling £46M of his stock at what is a turbulent time for both HL and global markets.