+Paragon Bank ISA

Hi ,  I am new to the Forum so forgive my inexperience here . 
 I recently discovered that Paragon , without my knowledge or instigation , moved ISA funds into a non ISA account . Paragon deny they instigated the move and the matter is now with the Financial Ombudsman .
Has anyone heard of or had a similar experience ?  
It would be really helpful to my case if there were others . Paragon of course will not even contemplate the thought that their system could be at fault.
Thanks in advance for any thoughts.

Comments

  • Hoenir
    Hoenir Posts: 6,800 Forumite
    1,000 Posts First Anniversary Name Dropper
    Not entirely clear what has supposedly happened. Systems don't just do things either. As funds don't simply move around.
  • Barkin
    Barkin Posts: 746 Forumite
    500 Posts Second Anniversary Name Dropper
    Was this a maturing fixed term ISA? 
  • refluxer
    refluxer Posts: 3,154 Forumite
    1,000 Posts Fourth Anniversary Photogenic Name Dropper
    It would be highly unusual for a bank to transfer ISA funds into a non-ISA account without your permission.

    If this was previously a fixed rate ISA that has matured, are you sure you didn't accidentally request that the funds be paid into a non-ISA account on maturity ? The default option (if they don't hear from you) is that they pay it into their Easy Access cash ISA, so that wouldn't explain it.

    If you're sure you didn't request the pay-out yourself and haven't given them reason to close the ISA (you've stuck to the ISA rules/allowances) then they've presumably done this in error, but I would have thought they should know what's happened, either way.


  • xylophone
    xylophone Posts: 45,556 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Has Paragon provided PROOF of your instruction to move the money?
  • Tyro10
    Tyro10 Posts: 2 Newbie
    First Post
    It was not a maturing ISA . I added last years allowance to an existing Paragon  ISA and about a month later for no apparent reason the ISA funds were moved into a one year fixed saver account . 
    Paragon of course deny they initiated the move .Hence I am claiming the resultant tax burden and have referred it to the Ombudsman.
    Thanks for comments.
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