NS&I Withdrawls

pridehappy

We've had NS&I Premium Bonds for around 20 years now and never had any issues. I'd recently heard of customer service issues in the news, and I was dreading my withdrawal from my son's account as he was no longer winning any prizes and we discussed transferring it into his savings account.

Apologies this is a little long, although this whole situation has been going on for a few months now:

First of all, when attempting to sign in to online banking, it explained that our phone number is out of date and that I'd need to receive a confirmation code on my landline to gain access. I tried around 3 times, although each time I didn't receive the call. Contacted NS&I and they manually updated the number for me, so I logged in and started the withdrawal process.

As always, I like to try and withdraw £1 first to check. My son entered his bank details and processed the withdrawal, it went through immediately and took the £1 from the balance. Unfortunately, this did not reach his bank account so the next day, he phoned NS&I with my permission to figure out what went on. The advisor took him through the process again of changing passwords (apparently they needed to do this) and set up his details on the account. The advisor was more than happy to do so and attempted to transfer him to withdrawals to figure out what happened. After being passed around a few times, a Scottish lady very quickly explained she'd investigate and give him a call back within a few hours. This call was never received.

2 days later, he called NS&I again. This time, he declined to talk to them regarding "security". Apparently, I was the only one who could speak to them. So my question was, why would they let my son manage the account yesterday but not today? Surely that's a massive security flaw which needs investigated but told them not to argue after questioning them and putting the phone down.

Once I was available the next day, called them back and expressed my concerns and how I gave him permission to manage the account, even though it was in his trust of him (he's 15). Now finally told that the bank transfer had to be made into my name, not his, and then I need to transfer it to him. A hassle, I know, although I went ahead. £1 was never issued back to the account, but not a massive loss.

The next day withdrew another £1 now to my bank account to double-check, and finally, it successfully went through. So, I immediately logged in and attempted to withdraw the further balance from the account. Until I was told there was a block placed on the account and I'd have to call them again.

So another day later phoned and explained and was told the security block had been placed as my son attempted to manage the account, even though they went ahead with it and changed account details! Told it would take 3 days after an email to unblock the account, so I waited and waited. A week later, still a block. So I called NS&I again and requested another block removal and was told to confirm details using Equifax. The advisor was not very friendly and started shouting at me when I explained I didn't know the exact date that my current account was opened back in the 1990s, so I just explained I didn't know. He then decided to start changing his tone of voice and shouting at my son in the background for attempting to help and placed an instant security marker on my account. I explained I'd be complaining and put the phone down out of frustration.

Called again today, and between 4 advisors, nobody could figure out what to do. Promised another call tonight which I never received.

So I'm stuck with a large sum of money in a Premium Bonds account I need out quickly now and even they don't know what's happening. Submitted a complaint and said it would take up to 2 months for a reply.

Any ideas?

tacpot12

I think you need to leave your son out of this. If the money is in your name (but in trust for him) while he is 15, he can't operate an account with NS&I and no-one there should have suggested otherwise. Did he lie about his age? 

However, you should be able to withdraw it and have it paid into your bank account with out issue.

I'm not surprised that NS&I staff were suspicious and put a block on the account. Your son may have sounded older than 15 and that he was coercing you when he was trying to help.  

If your complaint also stressed the urgency that you get the money, then nI think you need to be aware that this is yet another red flag from a security point of view! Why do you need the money urgently? If it was just because he was turning 16 and wanted to have access to the money himself, then there would be no urgency. What does he need urgently?  

However, I would recommend that you keep calling them and keep asking to sort the problem out. It is entirely possible that due to the security concerns you have already raised that they think you are laundering the money. If so the regular staff will not be able to help you, and you will need to wait until the fraud department contacts you.

Your assertion that the money is in trust for him also doesn't ring as being completely correct. He is 15. The money has been on deposit for 20 years. You can't open an account in the name of someone who doesn't yet exist.

However, the fact that the money has been on deposit for 20 years makes is very unlikely that you were laundering the money, and you should make this point to them.  

Nebulous2

Customer service with NS&I has been widely reported to be very poor at this point in time. I keep money for work I'm doing there and make occasional withdrawals. Thankfully I've never had to call them. 

Withdrawals take several days, it tells you online when it will be, when you make the withdrawal. My experience has been it arrives a day earlier than they say. 

£1 test withdrawals give you reassurance, but it is classic behaviour for people misusing someone's account, and will have raised their suspicions.

In addition the conversations with their staff sound as though they have been heated and at cross purposes. Additional commentary from a second person, audible to the call handler certainly won't help. 

You've got yourself into a situation which will be difficult to resolve and may take some time. 

I'd contact them, admit that it has not been good so far as you have found yourselves at cross purposes, and ask what you need to do to put it back on track and get the money out. 

Section62

pridehappy said:

...

So I'm stuck with a large sum of money in a Premium Bonds account I need out quickly now and even they don't know what's happening. Submitted a complaint and said it would take up to 2 months for a reply.

Any ideas?

You aren't alone.

I tried witdrawing some funds from my Premium Bonds in early May using the online form.  The instructions said to leave the destination bank details blank if you want the money paid to your nominated account.  My nominated account is my NS&I Direct Saver.  Someone at NS&I started processing the form on the day I submitted it - but because the bank details section was blank they have sent me a snail mail letter saying I'd completed the form incorrectly and asking me where I want the money sent.

I complained, and was told that since their standard processing times were 8 working days before anyone looks at the form, and three working days for a bank transfer to be done, NS&I were still within their performance target for dealing with the withdrawal request.  I pointed out I'd just been told someone looked at the form the day I submitted it (therefore it didn't take 8 working days), and it shouldn't take 3 working days to move money internally from my Premium Bond Account to my Direct Saver.  They said they'd get someone to phone me within 3 days (which could include a Saturday/Sunday) to discuss the complaint.  Over a week later no phone call and no money.

On that basis, if they tell you it could take up to 2 months to get a response, I think you should expect to hear from them in about 6 months time.... if at all.  Phone them again to chase for a response... I think they may be so busy with complaints that they are dealing with the loudest ones first.

Just one other point - there was nothing in your initial description which suggested any urgency to the withdrawal.  So when you say you now need the money "quickly" you may need to explain (to NS&I) what the cause of the urgency is.  As others have pointed out, people needing money "urgently" is sometimes an indication they are being scammed or coerced into making a withdrawal (especially with funds that have been on deposit a long time) so if there is a genuine need for the money "quickly" make sure NS&I know exactly why.

missile

I tried to make a withdrawal yesterday. I am not able to withdraw any funds until after the next draw  

pridehappy

tacpot12 said:

I think you need to leave your son out of this. If the money is in your name (but in trust for him) while he is 15, he can't operate an account with NS&I and no-one there should have suggested otherwise. Did he lie about his age? 

However, you should be able to withdraw it and have it paid into your bank account with out issue.

I'm not surprised that NS&I staff were suspicious and put a block on the account. Your son may have sounded older than 15 and that he was coercing you when he was trying to help.  

If your complaint also stressed the urgency that you get the money, then nI think you need to be aware that this is yet another red flag from a security point of view! Why do you need the money urgently? If it was just because he was turning 16 and wanted to have access to the money himself, then there would be no urgency. What does he need urgently?  

However, I would recommend that you keep calling them and keep asking to sort the problem out. It is entirely possible that due to the security concerns you have already raised that they think you are laundering the money. If so the regular staff will not be able to help you, and you will need to wait until the fraud department contacts you.

Your assertion that the money is in trust for him also doesn't ring as being completely correct. He is 15. The money has been on deposit for 20 years. You can't open an account in the name of someone who doesn't yet exist.

However, the fact that the money has been on deposit for 20 years makes is very unlikely that you were laundering the money, and you should make this point to them.  

I meant my family has invested in Premium Bonds for around 20 years, my sons’ account has only been open for around 8 years.

I also did in the past contact NS&I and notify them my son can discuss and manage the account, although I was told no problem so there’s no reason why a security block is on the account.

After all, I’m sure it’s illegal to hold money from people, especially when they don’t know how to release it.

pridehappy

I also honestly don’t understand why, if they are, feeling like my son is managing my money. I’ve expressed permission many times before and seen as the account is in trust of him, surely that should give reassurance.

Section62

pridehappy said:

tacpot12 said:

After all, I’m sure it’s illegal to hold money from people, especially when they don’t know how to release it.

Not if they think someone is attempting to steal the money, or the person they are dealing with isn't the owner of the money. (and also in various other circumstances)

If you start accusing NS&I of acting illegally you'll only reinforce the idea in their minds that something is wrong.

You need to calm the situation down, rather than upping the ante.  Demonstrate that everything is under control and there is nothing untoward going on, and sooner or later the money will be transferred.

ranciduk

missile said:

I tried to make a withdrawal yesterday. I am not able to withdraw any funds until after the next draw  

Who told you that??

its easy access , you can withdraw whenever you like 

Rollinghome

missile said:

I tried to make a withdrawal yesterday. I am not able to withdraw any funds until after the next draw  

My wife redeemed half of her PBs a short while ago.  As I remember, there was a check-box to select if she wanted the withdrawal to wait until after the next draw, which is useful if you're close to the date of the draw.  But it was an option, not a requirement.

wmb194

pridehappy said:

I also honestly don’t understand why, if they are, feeling like my son is managing my money. I’ve expressed permission many times before and seen as the account is in trust of him, surely that should give reassurance.

It's straightforward. If it's in your name it's your account. If it's in a child's name and they're under 16 a parent or legal guardian is the trustee and they manage it. If the "expression" doesn't add up to some kind of legal form e.g., a co-signatory or power of attorney that NS&I recognises then it's meaningless.

https://www.nsandi.com/products/premium-bonds