Innovative Finance ISA (IF)

masonic

greecetogo said:

Hello,
I am in the same position as Dawnwakeling. My estranged husband bought these IF ISA's for my two autistic boys as an investment a few years ago. £10,000 each so . confused as what to do. Do you know of a good broker that would take this on, or is better to try and change the name over. ? I would prefer to find a broker, or at least someone that can help me . 

The investments held within IF ISAs are generally not investments that can be transferred to another broker. A special type of ISA had to be created to hold this financial instrument because it couldn't be held in a S&S ISA. IF ISAs can be transferred if you are able to sell the investments held within them to somebody else, but this is not possible as no market exists that trades your investment. I do think the Joint Special Administrators should permit investors to let these investments run their course at which point they can transfer the cash to any other ISA. They probably don't want to take on the costs of doing this as it will prolong the administration process and impact the outcome for the company's creditors. Your only choice at this point is to remove the investment from the ISA into the name of someone eligible to hold it.

I would urge anyone who is in this position to review how they select their investments. This is not a product any consumer should have touched with a barge pole. Today it may be an obscure bond where the custodian has gone bust, tomorrow it may be an outright scam. Never invest beyond your level of understanding, or without regulated financial advice.