UPDATE: ISA Transfer - they lost my money! 😖 (Do you lose interest when switching?)

Idpullthecurtain

Lets hope you are right
I dont have a lot of faith in these organisations. 

eskbanker

Idpullthecurtain said:

Lets hope you are right
I dont have a lot of faith in these organisations. 

You haven't mentioned which ones they are yet - you may find that doing so sheds some light on the process if resonating with others who've experienced similar with the same providers.  There have been plenty of previous threads about significant issues when transferring from Virgin Money for example, as a result of poor integration with Clydesdale and Yorkshire banks....

Idpullthecurtain

I'm transferring from Charter Savings Bank to Moneybox.  Thanks. 

1spiral

eskbanker said:

Interest should be dovetailed so that the ceding provider pays it up to the day before funds transfer or cheque issue, and the receiving provider pays from that transmission date - this was documented in the official gov.uk ISA pages but no longer seems to be there, although can be seen in archives such as:

https://web.archive.org/web/20230202094231/https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/693198/Appendices.pdf

It appears to be in this version (non archived).
https://assets.publishing.service.gov.uk/media/5ac4cc2040f0b60a4e1b0e4a/Appendices.pdf

eskbanker

1spiral said:

eskbanker said:

Interest should be dovetailed so that the ceding provider pays it up to the day before funds transfer or cheque issue, and the receiving provider pays from that transmission date - this was documented in the official gov.uk ISA pages but no longer seems to be there, although can be seen in archives such as:

https://web.archive.org/web/20230202094231/https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/693198/Appendices.pdf

It appears to be in this version (non archived).
https://assets.publishing.service.gov.uk/media/5ac4cc2040f0b60a4e1b0e4a/Appendices.pdf

Thanks - did you navigate to that page from a gov.uk one?  It used to be linked from the transfers page at https://www.gov.uk/guidance/transfer-an-isa-if-youre-an-isa-manager, but the change history at the foot of that page states that it was removed a few weeks ago:

23 November 2023

Outdated information about specific dates on transferring an ISA has been removed.

Naturally the old version is still visible in archives at https://web.archive.org/web/20230527071721/https://www.gov.uk/guidance/transfer-an-isa-if-youre-an-isa-manager

Appendix B (PDF, 364 KB, 9 pages) contains guidance produced by the industry on best practice for cash ISA to cash ISA transfers. While we recommend that managers adopt these procedures, they are recommendations only and are not prescriptive. However, the timetable above must be adhered to.

but I don't know if there's a current page that links to the guidance PDF with context?

sheslookinhot

I think you will only be losing 2 days interest at most, possibly no loss at all.

eskbanker

sheslookinhot said:

I think you will only be losing 2 days interest at most, possibly no loss at all.

Based on what?  For providers following the government's guidance, there should be interest paid every day, but for those who choose not to, I don't see why the limit would be two days lost?

1spiral

eskbanker said:

1spiral said:

It appears to be in this version (non archived).
https://assets.publishing.service.gov.uk/media/5ac4cc2040f0b60a4e1b0e4a/Appendices.pdf

Thanks - did you navigate to that page from a gov.uk one?  It used to be linked from the transfers page at https://www.gov.uk/guidance/transfer-an-isa-if-youre-an-isa-manager, but the change history at the foot of that page states that it was removed a few weeks ago:

No, I couldn't find a link from the Gov site so googled "Cash ISA to Cash ISA Transfers – suggested best practice"  copied from the document you provided a link for.

Idpullthecurtain

sheslookinhot said:

I think you will only be losing 2 days interest at most, possibly no loss at all.

As of today my balance still isn't transferred, it left my previous account on 21.12.23 and has been "processing payment" since a few days later.  Its now 12.2.24!  I received a monthly interest payment from my previous provider on 1.1.23 and nothing since.  So far I have missed one monthly payment.  Im sure both providers will claim they are not accountable for last months, its £250!  And as it stands my balance still is processing so Im sure next months interest will not be payed.

I will be very reluctant to ever do this again.  Its awful.

Idpullthecurtain

Maybe I jinxed all this from the start 😂
This is what happened.  It did turn out to be a disaster. 

Long story short.  I transferred my Cash ISA balance from Charter Savings Bank to Moneybox.  I initiated this transfer on 29.12.23 with Moneybox.  My balance was only Completed on 4.3.24  So essentially my money was held up for over 2 months during this time I had no access to it, and both organisations blamed the other.  Rather unsettlingly during this time both organisations claimed they didnt have the funds.

I have raised formal complaints with both organisations, and I am awaiting their investigations.  But so far both have maintained they are not to blame.

My 2 main issues are;
1 I had the stress of worrying if my life savings would ever come back to me.  This was exaggerated when both organisations repeatedly told me they didnt have the funds and there was little they could do.

2 I was denied any access to my balance for over 2 months.

(There is also the issue that I am still out of pocket of some of the interest too.)

As I said I am awaiting the findings of the complaints.  But I am expecting neither company to accept any culpability, since they have continually done that for months.  If they do this, I would raise this issue with Onbudsman.  So can anyone offer an opinion of what is possible for me to expect, in terms of a response?  Can anyone offer advice or experiences dealing with the Financial Onbudsman.  Does anyone believe I might be due some compensation?