iWeb Offering £100 Cashback (Negating the £100 Account Opening Fee)

Asghar

Santander allow ISA transfers in and out as both Cash or the Funds can be re-registered.

Going by your dates, iWeb probably received the form on Friday/Saturday and straight away on Monday, requested the transfer as Cash. They would not have had time to speak to Santander to check if iWeb had the similar Fund for an in-specie transfer.

That's how I see it anyway.

alewin

Tried to phone iWeb today after work, but they were closed because the US market is closed today.
The Fund with Santander has been sold into cash anyway, so I can't stop the transfer.

SpeedSouth

Opened the account and it's already been transferred from Vanguard and the £100 paid into the Shares account it sets up for you.

Transferred that out to my account.  All very easy!

movingon

SpeedSouth said:

Opened the account and it's already been transferred from Vanguard and the £100 paid into the Shares account it sets up for you.

Transferred that out to my account.  All very easy!

When did you open the account and request the transfer?

SpeedSouth

Opened the account 23/12/22.  Requested the in speccie transfer as part of that same process.  Probably didn't send the signature form off until a few days afterwards, maybe even Jan.  The transfer was completed a 5-7 days ago and had the text message saying the £100 was paid in yesterday.

alewin

SpeedSouth said:

Opened the account 23/12/22.  Requested the in speccie transfer as part of that same process.  Probably didn't send the signature form off until a few days afterwards, maybe even Jan.  The transfer was completed a 5-7 days ago and had the text message saying the £100 was paid in yesterday.

I never saw the ISA transfer request when opening the account, and in-specie was not mention anywhere.
Started the ISA transfer after the account was open, chose the type as Stock and Shares ISA and chose the request to transfer as Stocks and residual cash, instead of just the cash option.


iWeb have requested the transfer from Santander as cash and they have already sold the funds.

movingon

Have you contacted them about it?

granta

alewin said:

SpeedSouth said:

Opened the account 23/12/22.  Requested the in speccie transfer as part of that same process.  Probably didn't send the signature form off until a few days afterwards, maybe even Jan.  The transfer was completed a 5-7 days ago and had the text message saying the £100 was paid in yesterday.

I never saw the ISA transfer request when opening the account, and in-specie was not mention anywhere.
Started the ISA transfer after the account was open, chose the type as Stock and Shares ISA and chose the request to transfer as Stocks and residual cash, instead of just the cash option.


iWeb have requested the transfer from Santander as cash and they have already sold the funds.

Ticking 'stock and residual cash' is an in-specie transfer so it appears they have made an error.
I would suggest you contact iweb asap and ask them to rectify the mistake. If they are at fault they should put you back into the position as if the mistake had not happened. But you need to do it quickly 

masonic

While iWeb certainly should put you back into the position you'd been in if the mistake had not occurred, it is not going to be within their power to add money to your S&S ISA to cover the cost of additional units of your fund. Compensation outside of the ISA (which you can subsequently add subject to your allowance) will be the likely outcome. This should cover the opportunity cost of you being unable to benefit from the tax free status of what you lose from the ISA.

While they have this responsibility to you, it would be wise to take any reasonable steps to limit their liability to you. That potentially means reinvesting that cash as soon as practicable, but this is something to discuss with them. Should the complaint drag on and move to the Financial Ombudsman Service, they have been known to limit compensation payments where someone could have avoided some of the losses they were claiming for.

alewin

Thanks for all the replies.
I spoke to iWeb yesterday and they said that they never requested a cash transfer from Santander. They did say however that the wording in the letter they sent them might have confused them. They are going to contact them to try and get it sorted, have not got back to me yet. See what happens.

The letter they sent me mention's requesting a cash transfer, even payment by cheque. As I stated before, Santander had already sold the Fund in the ISA before I received the letter from iWeb.