Can my ISA provider refuse to transfer Gilts via CREST and force a sale?

Nitra8912

Hi, I am moving my stocks and shares ISA from one provider to another. I have some Gilts in my ISA, which are available for hold and trade with both ISA providers.

However, the destination provider only process transfers through Crest and it appears the source provider is currently holding the Gilts on Euroclear, creating a transfer issue.

The destination provider said the source provider should be able to move the Gilts to their Crest account, but the source provider has declined the request, asking me to sell the Gilts instead.

Can the source ISA provider refuse to move the Gilts to the Crest account and consequently force me to sell the securities, even if they are available to trade with both ISA providers? Or do they have a duty to facilitate the transfer as much as possible?

Phoenix72

You're not going to get much advice on that on this, the Overseas holiday board.

p00hsticks

Phoenix72 said:

You're not going to get much advice on that on this, the Overseas holiday board.

I've put in a request for it to be moved over to the ISAs board
ISAs & tax-free savings — MoneySavingExpert Forum

masonic

Providers are not required to support in specie transfers. They must allow customers to freely transfer out as cash, but that's it. The destination ISA provider is responsible for managing the transfer and seems to be of the opinion that providers should be about to use a different clearing house, so why don't they take some of their own medicine and accept the transfer via Euroclear? There is more in it for them to offer this flexibility than your source provider. BTW, Euroclear has owned CREST since 2002.

Nitra8912

p00hsticks said:

Phoenix72 said:

You're not going to get much advice on that on this, the Overseas holiday board.

I've put in a request for it to be moved over to the ISAs board
ISAs & tax-free savings — MoneySavingExpert Forum

Yeah, sorry, I realized just after posting and requested for it to be moved, which I see has been done now.

Nitra8912

masonic said:

Providers are not required to support in specie transfers. They must allow customers to freely transfer out as cash, but that's it. The destination ISA provider is responsible for managing the transfer and seems to be of the opinion that providers should be about to use a different clearing house, so why don't they take some of their own medicine and accept the transfer via Euroclear? There is more in it for them to offer this flexibility than your source provider. BTW, Euroclear has owned CREST since 2002.

That is a very good point, thank you very much