iWeb no longer charging commission for international trades

BrockStoker

I got an email from iWeb. It says:

"We have made some updates to the cost of online international trading. The pricing structure on our international trading has changed and we no longer charge dealing commission for international trades completed online.
Commission is still payable for international trades completed over the telephone and foreign exchange charges will still apply for both online and telephone trades (1.5%). "

Perhaps a stupid question, but will this apply to all iWeb accounts? I hold 3 iWeb accounts (SIPP, ISA, and Share dealing), but I noticed that the email comes from "iWeb Share Dealing", perhaps suggesting it only applies to the share dealing account, and not the others?

GeoffTF

It applies to all iWeb accounts. Nonetheless, it is bonkers to pay 1.5% to buy and another 1.5% to sell.

BrockStoker

Thanks Geoff. I guess they are trying to make some headway against the likes of eTorro etc.

hoc

£5 for UK trades is quite good compared to most but looks odd now that international trades are "free". Of course they are not free because the 1.5% forex commission is much more important than some fixed £5 or even £10. Buying just £350 worth of international shares you pay more than £5. And then you pay it again when you sell because they force you to keep in £ which is legally only a requirement for ISA. So really you're paying 3% to buy and sell l international shares. Even the more expensive platforms like Hargreaves Lansdown and AJ Bell charge a maximum 1% commision for each transaction and ii which does charge the same ridiculous 1.5% only does so once because you can keep your money in foreign currency after that. iweb is good to hold only not trade.

BrockStoker

hoc said:

£5 for UK trades is quite good compared to most but looks odd now that international trades are "free". Of course they are not free because the 1.5% forex commission is much more important than some fixed £5 or even £10. Buying just £350 worth of international shares you pay more than £5. And then you pay it again when you sell because they force you to keep in £ which is legally only a requirement for ISA. So really you're paying 3% to buy and sell l international shares. Even the more expensive platforms like Hargreaves Lansdown and AJ Bell charge a maximum 1% commision for each transaction and ii which does charge the same ridiculous 1.5% only does so once because you can keep your money in foreign currency after that. iweb is good to hold only not trade.

That was the plan - buy and hold. I also have an AJB ISA for myself which is what I plan to fund in a few weeks. As you say, the FX rate at iWeb is a bit over the top.