Be careful - Coventry BS Junior ISA matures!!

disney_cjd

This is interesting. So my daughter (who appeared on Martin's show asking him a question about this) turned 18 on Monday. She has/had a junior ISA with the Coventry BS. They wrote to her saying they would move it all into a Matured ISA on her birthday but she needed to fill out more forms and ID and sign etc.

She called them today and said I just want the money back and will follow Marins advice on where to put it. They have told her thay have already opened the account! She said but you say in the letter you needed me to sign and provide ID BEFORE you opened it, so why do that?

THen the lady asked her for adult ID. At this point I asked to speak to her and she told me she needed something like her adult passport or showing her adult DOB!! I very calmly said that her passport is the same and her DOB never changes!!! That they aleady have that and all she wants is her money.

They are calling her back!

So be careful. I also have an ISA with them and find they very difficult on the phone to deal with.

xylophone

Do you have a copy of

Specific Terms for Junior Cash ISA (1) and our Saving Accounts Terms and Conditions.

From
https://www.coventrybuildingsociety.co.uk/consumer/product/savings/children/junior-cash-isa.html



we’ll convert the account to a cash ISA (variable interest rate, easy access) in the child’s name only. They’ll be able to access their money and/or keep saving if they want to. We’ll send a reminder nearer the time

They wrote to her saying they would move it all into a Matured ISA on her birthday but she needed to fill out more forms and ID and sign etc

Did she comply with the instructions?

disney_cjd

xylophone wrote: »

Do you have a copy of

Specific Terms for Junior Cash ISA (1) and our Saving Accounts Terms and Conditions.

From
https://www.coventrybuildingsociety.co.uk/consumer/product/savings/children/junior-cash-isa.html



we’ll convert the account to a cash ISA (variable interest rate, easy access) in the child’s name only. They’ll be able to access their money and/or keep saving if they want to. We’ll send a reminder nearer the time

Yes - but the letter that came in December clearly stated that in order to conver the account you needed to send it ID and sign the form. It said. "IN ORDER TO OPEN THE MATURED JUNIOR ISA ACCOUNT WE NEED YOU TO SIGN AND RETURN THE APPLICATION FORM AND UPDATED ADULT ID".

So they didnt get that. But they still opened it.

Did she comply with the instructions?

Yes. But clearly they didnt

Stenwold

Now your daughter is 18 the funds are not able to be kept in a JISA, so it would have had to switch over to a Matured JISA straight away.


I'd imagine that ID is needed in order to withdraw/close the account herself.

xylophone

Yes. But clearly they didnt

She didn't supply the documentation requested at the time it was requested?

Once a JISA account holder has reached 18, the account cannot remain a JISA - therefore, if the information requested wasn't supplied before maturity to the Coventry, I should think that a "default" would come into play (rather as happens with eg an adult fixed term account where maturity instructions have not been provided).

In this case, the "default" was the easy access cash ISA?

With regard to your daughter's being asked for proof of identity/date of birth, the Coventry are within their rights to ask for this, even if it was previously provided.

By way of example of this, Virgin Money asks for ID every time a branch account is opened, even if the account holder is an existing customer.

colsten

disney_cjd wrote: »

She called them today and said I just want the money back and will follow Marins advice on where to put it.

This always makes me cringe a bit. Whilst Martin knows a lot about savings accounts, he doesn't give financial advice (as is mentioned all over his website). He is a journalist. He carries zero responsibility for any of the suggestions he makes. This isn't to say his suggestions are not the right ones for your daughter, but neither is there anything to say that they are.

disney_cjd wrote: »

They have told her thay have already opened the account!

What's the issue? It's an instant access cash ISA (which they were legally obliged to open for her, and to put her JISA balance into) to which she has access as soon as they have verified she is who she says she is.