Virgin Money delay in distribution/dividend payment

Kokoraki

My latest VM transaction status now says: "Income paid out by Direct Credit 03/06/2024".  Nice of them to sit on it for an extra week instead of me being able to pay the bills and earn some interest.  I feel the urge to write to some of these people asking for an explanation virginmoneyukplc.com/about-us/executive-leadership-team/.

Flying_Magpie

Yes I have the same - I do think this has been badly handled and a disappointing customer experience. I was hoping the funds would land 29/5 as I have been told. I will be particularly upset if this is further delayed, as it feels as extended delays could be avoided and VM want to keep dividends in their bank account that little bit longer. 

Kokoraki

My latest communication to VM below.  I'm not holding my breath:

“As a follow up to my earlier query regarding the latest dividend distribution delay, I can see that this is now showing as a credit amount in my account dated 24th May 2024.

However, it seems you will not be paying me the income into my nominated current account until 3rd June 2024.  I note that in May and November of 2023 both distribution and payment occurred precisely on the 15th as expected.

Can you explain why you are delaying this payment by a further week?  Your unexplained delay will cause me some short-term financial difficulties.

I have already opened a complaint via your complaints procedure, so please consider the above question an addition to that complaint.

I look forward to receiving a comprehensive explanation.”

Sutch

VM is still avoiding any communication with investors about the reasons for delay in paying dividends.
I heard today that those who take their dividend in cash are having to wait until 3rd June for payment.
Frankly this is appalling. I imagine the VM staff have all been paid on time.
The Board needs to wake up and stop treating their customers with contempt. 

Kokoraki

I note the VM CEO posted this message on 22nd May 2024:

uk.virginmoney.com/nationwide-and-virginmoney/

"We’ve been keeping you up to date about the acquisition of Virgin Money by Nationwide and wanted to share the latest news. We’re pleased to announce that on 22nd May 2024, Virgin Money shareholders voted for the acquisition to proceed."

It does seem more than a coincidence that they held on to the dividends until the deal was passed by shareholders.

I think investors in VM managed funds deserve some proper answers and compensation for what looks increasingly like an entirely artificial delay in paying out dividends in order to make their balance sheet look more attractive.

Sutch

A cynic or realist might conclude that VM has been massaging its balance sheet and cash reserves to smooth the merger. It wouldn't be the first time but it's totally unethical when it impacts on loyal investors. I have lodged a complaint but so far the silence is deafening.

dsquared22

Yes and for those of us who have the distribution reinvested it's also seems to be taking a while. The distribution appeared on the app Friday 24th and has been a pending reinvestment for a couple of days. I guess it might be reinvested after today as it's the 29th but goodness knows why it's all taking so long. An email or something on their website explaining the change, whether it's always going to be like this, realistic timescales etc would have been much appreciated.

Flying_Magpie

Hi all, I’ve had the funds arrive in my bank account today for those taking the income.

Kokoraki

My dividend arrived in my bank account today.  However, I've still not had a reply to my complaint to VM.

dsquared22

Mine was reinvested yesterday late afternoon.