Cash ISA Transfer - Loss of interest during transfer

subjecttocontract

1spiral said:

refluxer said:

This actually makes sense if you think about it because, in a worst-case scenario where ISA funds are sent via cheque and the receiving provider takes many weeks to process it, it's fair enough that the sending provider shouldn't be required to cover any loss of interest caused by the new provider's inefficiencies, plus it's the new provider who's gaining from the transfer, too.

I had exactly this scenario with Metrobank. There was 14 days between the funds being removed from the original provider before being credited to Metro due to Metro operating a cheque transfer. They wouldn't credit me with the lost interest which took about 6 weeks to break even on from the spread of old and new rates.

When I transferred an IS A to Metro bank around November last year their offer was to pay the Metro IS A interest rate from the date that the transfer form was submitted. I had to visit the branch to arrange the transfer and complete the paperwork. So on that basis I couldn't have cared less how long they took to actually effect the transfer as I was already earning 5.71% from the day I visited the Metro branch to sign the transfer form.y