HSDL - Automatic Div Reinvestment

DoctorStrange

A stock I hold in my ISA with Halifax paid a dividend yesterday, and I've selected automatic reinvestment.

I've checked the account today and nothing is showing so I contacted the live chat rep, who said it'll be a few working days before it's processed?!

Is this normal for Halifax? I'm not sure why it takes so long? I hold the same stock in my HL SIPP which has already been processed so I'm a little disappointed in HSDL.

Just looking to see if anyone else has any views on them and if it's worthwhile moving provider

underground99

They need to get the money, and then use the money to buy shares; they can only buy shares in the market when they have got the incoming money and will be buying for you at the same time as a bunch of other customers, and whatever amount doesn't get spent on shares will be returned to you in cash. The payment made for the shares will take a few days to settle. I wouldn't call 'a few working days before I see the details' as "so long" that it would cause me to move my ISA. You don't want the money anyway, which is why you're asking them to reinvest it.

DoctorStrange

My other provider (HL) credited the funds on the pay date as expected.

Admittedly I reinvested the funds manually but it's still fine and dusted days before HDSL.

Just seems HSDL are quite inefficient with all this stuff, taking days to perform what others can do in hours.

Apparently it'll take "a few weeks" to move the ISA though so I probably won't bother,  but frustrating we have to wait so long for simple transactions.

Thrugelmir

DoctorStrange said:

My other provider (HL) credited the funds on the pay date as expected.

All be down to how busy the admin teams are at the time.