Trading 212 for ISA

snowshine

Can one invest in Vanguard ETFs through Trading 212 ISA vehicle to cut costs? 

Would that be 
1.Economical

2. Protected by FSA (value of investment can go as well as down, I am aware. This is if the Trading 212 goes belly up?)

Alexland

You would need to check with them (or someone here who uses them) but I expect some Vanguard ETFs will be available. If T212 fail the assets should be segregated for another manager to pickup although their use of fractional shares or complex trading products might make that more difficult. If there was fraud or theft then T212 are FSCS protected up to £85k.

Special administrations can be worrying and long so for a small account I would rather just pay Vanguard their reasonable 0.15% platform fee and for a large account I would go with someone more established.

HansOndabush

If all you are doing is investing in Vanguard ETFs then for goodness sake just choose a decent, established, large cap broker. The few pounds in fees are nothing compared to how your investments will perform.

Trading 212 is for playing around with Gamestop and other meme shares on a day trading basis. The 'zero' fees aren't what they seem anyway which has been the discussion of other threads so I won't repeat here.

madasa62

Avoid the recently launched Trading 212 Cash ISA 5.2%. I opened an account 5 days ago and was told they "couldn't accept cash ISA transfers at this time owing to high demand", despite saying that the account accepts transfers. As I haven't heard back from Trading 212 in the meantime, I've withdrawn my investment and closed my account within the cooling-off period. If you launch a "market leading" cash ISA, make sure you have the infrastructure to deal with a high volume of applications. Taking people's money and then not being able to process it properly is bordering on sharp practice. Martin Lewis calls this rate a "loss leader". I call it a con.

wmb194

snowshine said:

Can one invest in Vanguard ETFs through Trading 212 ISA vehicle to cut costs? 

Would that be 
1.Economical

2. Protected by FSA (value of investment can go as well as down, I am aware. This is if the Trading 212 goes belly up?)

If you look at the page linked below you can search the available securities.

It's covered by the FSCS and according to its filings at Companies House it is a decently profitable business.

https://www.trading212.com/trading-instruments/isa

wmb194

madasa62 said:

Avoid the recently launched Trading 212 Cash ISA 5.2%. I opened an account 5 days ago and was told they "couldn't accept cash ISA transfers at this time owing to high demand", despite saying that the account accepts transfers. As I haven't heard back from Trading 212 in the meantime, I've withdrawn my investment and closed my account within the cooling-off period. If you launch a "market leading" cash ISA, make sure you have the infrastructure to deal with a high volume of applications. Taking people's money and then not being able to process it properly is bordering on sharp practice. Martin Lewis calls this rate a "loss leader". I call it a con.

It wouldn't be the first time that a market leading account combined with the MSE effect left a provider overwhelmed for a while. You could have waited it out but it's up to you.

eskbanker

madasa62 said:

Avoid the recently launched Trading 212 Cash ISA 5.2%. I opened an account 5 days ago and was told they "couldn't accept cash ISA transfers at this time owing to high demand", despite saying that the account accepts transfers. As I haven't heard back from Trading 212 in the meantime, I've withdrawn my investment and closed my account within the cooling-off period. If you launch a "market leading" cash ISA, make sure you have the infrastructure to deal with a high volume of applications. Taking people's money and then not being able to process it properly is bordering on sharp practice. Martin Lewis calls this rate a "loss leader". I call it a con.

Rather than resuscitating a three year old thread that predated T212's cash ISA, you could have looked at the main thread about the product, where the temporary transfer suspension was shared when noticed the week before you opened your account:

https://forums.moneysavingexpert.com/discussion/comment/80818727/#Comment_80818727

m_c_s

I have used Trading 212 for 5 yrs now for my S&S ISA and saved on lots on fees. No problem what so ever with them.
The platform is fully authorised and regulated by the Financial Conduct Authority so has full FSCS protection just like any other financial platform (HL, AJ Bell, Vanguard etc). Compliance with FCA regulations means all funds are kept separately in segregated bank accounts again just like HL, AJ Bell, Vanguard etc. 
Oh and I have been enjoying earning 5.2% on my cash holdings which is effectively an instant access cash account. HL, AJ Bell and Vanguard are quite frankly shocking with regards to cash interest rates.
I for one am happy to have the 0.45% or 0.15% platform fee in my pocket rather than someone else's. Over 20 or 30 yrs just like advisor (FA or IFA) fees that adds up to thousands of pounds in savings.

qbadger

Yes, you can use the T212 cash ISA as an easy access savings account, but bear in mind that withdrawals could take up to three business days. In my experience the funds usually arrives in bank account on the next business day, which is pretty decent but not quite true instant access.

wchalmers88

Why is anyone having a go at the person highlighting an issue with trading 212's ISA account? 
Whether it was 5 years ago you opened an account or two weeks past, like me, there is clearly an issue yet it's still advertised on this site. Why hasn't it been removed? 
Two weeks I was looking to utilise my isa allowance for the year and went with trading 212 simply because MSE advertised it. Firstly there was an issue using trading 212's platform to transfer the money, then my online banking repeatedly warned me against transferring money, finally a customer service representative warned me against depositing money. It's pretty ironic that this happening via the most trustworthy platform in the UK & nothings being done about it- it's still being advertised. I even read one person on the forum ridiculously suggesting people should be raking through forum threads to find out information rather than trust what the MSE team have posted. MADASA62, you're not the only one who's feeling annoyed with this. 

gravel_2

Brother why have you bumped this twice dead thread to add to a complaint about a product that didn't even exist when the thread was originally posted? Criticism of a financial product is fine but do it in an appropriate venue.