Cash ISA transfer

peter021072

How long does it normally take to transfer a fixed cash ISA from one provider to another in people's experiences?

I'm in the process of transferring. I made doubly sure both sides were aware of the transfer date weeks before the maturity date to ensure any loss of interest would be minimal.  I even made sure the original cash ISA provider had received the transfer paperwork from the new provider a week in advance of the transfer date. However, it appears they did little until after the transfer date and are now waiting of the new provider contacting them again to confirm the transfer request.  Of course they can quote the 14 day transfer rule.  

refluxer

If both providers use the BACs (electronic) ISA transfer service, then transfers can take as little as a day or two, however some providers are quicker than others. 

If even just one of the providers isn't signed up to the service, then you'll need to allow at least a week or so for the cheque to be posted and processed. 

Which providers does your transfer involve ?

eskbanker

peter021072 said:

I'm in the process of transferring. I made doubly sure both sides were aware of the transfer date weeks before the maturity date to ensure any loss of interest would be minimal.  I even made sure the original cash ISA provider had received the transfer paperwork from the new provider a week in advance of the transfer date. However, it appears they did little until after the transfer date and are now waiting of the new provider contacting them again to confirm the transfer request.  Of course they can quote the 14 day transfer rule.  

You don't get to choose a transfer date - you can usually specify to the new provider that you wish them to avoid transferring before maturity, but that doesn't place any obligation on either party to transfer immediately after maturity.

Ch1ll1Phlakes

Your new ISA provider cannot initiate the ISA transfer before maturity, unless you specifically request this, otherwise you would be penalized by your current ISA provider. As much as we often would like ISA transfers to be instant (having got used to near-instant non-ISA transfers) the tax-wrapper on ISAs means the transfer must be done in the correct manner to protect your deposits. This includes making sure the transfer is only initiated after maturity, unless requested otherwise.

I've had Cash ISA transfers complete in 2 working days but it will depend on your providers but as you know shouldn't take longer than 15 working days (if it does take longer complain).

peter021072

refluxer said:

If both providers use the BACs (electronic) ISA transfer service, then transfers can take as little as a day or two, however some providers are quicker than others. 

If even just one of the providers isn't signed up to the service, then you'll need to allow at least a week or so for the cheque to be posted and processed. 

Which providers does your transfer involve ?

Shawbrook to Vanquis.  Do you mean some banks still use cheques through the post?  I understand they are written to Vanquis and are awaiting a reply. However, Shawbrook confirmed that they have already received the transfer request with all the account details a week ago, so it must be something else. 

Ch1ll1Phlakes

This screenshot is from the MSE Forum which you can view with the following link.

Vanquis — MoneySavingExpert Forum

I having checked Vanquis' website I don't see anything regarding how long it will take to transfer but then again they are only required to complete the transfer inside 14 working days

Ch1ll1Phlakes

peter021072 said:

refluxer said:

If both providers use the BACs (electronic) ISA transfer service, then transfers can take as little as a day or two, however some providers are quicker than others. 

If even just one of the providers isn't signed up to the service, then you'll need to allow at least a week or so for the cheque to be posted and processed. 

Which providers does your transfer involve ?

Shawbrook to Vanquis.  Do you mean some banks still use cheques through the post?  I understand they are written to Vanquis and are awaiting a reply. However, Shawbrook confirmed that they have already received the transfer request with all the account details a week ago, so it must be something else. 

Yes, some smaller banks and building societies I believe still use cheques however having checked a few places I believe Shawbrook and Vanquis both use electronic methods so should be relatively fast.

friolento

Ch1ll1Phlakes said:

Your new ISA provider cannot initiate the ISA transfer before maturity otherwise you could be penalized by your current ISA provider.  

They can if you ask them to and if you confirm you are happy to pay any penalty. Penalties are often quite severe, so people would be more likely to ask for the transfer not to happen before maturity.

Ch1ll1Phlakes

friolento said:

Ch1ll1Phlakes said:

Your new ISA provider cannot initiate the ISA transfer before maturity otherwise you could be penalized by your current ISA provider.  

They can if you ask them to and if you confirm you are happy to pay any penalty. Penalties are often quite severe, so people would be more likely to ask for the transfer not to happen before maturity.

You're absolutely correct. I've amended my post to improve the language used to get across what I meant more clearly.

2010

I requested a transfer from Shawbrook last Friday.
Yesterday they confirmed the transfer had been done and the money had left the account.
I assume they are using BACS so it should arrive tomorrow.
Other providers do use faster payments,so same day payments.
There has been a lot of comments about Shawbrook dragging their heels over ISA transfer requests and in some cases refusing for flimsy reasons.

They are also known for placing matured ISA funds in disrisery paying accounts (0.10%).

People should vote with their feet.

peter021072

2010 said:

I requested a transfer from Shawbrook last Friday.
Yesterday they confirmed the transfer had been done and the money had left the account.
I assume they are using BACS so it should arrive tomorrow.
Other providers do use faster payments,so same day payments.
There has been a lot of comments about Shawbrook dragging their heels over ISA transfer requests and in some cases refusing for flimsy reasons.

They are also known for placing matured ISA funds in disrisery paying accounts (0.10%).

People should vote with their feet.

Tonight I noticed they sent me two Emails during the day, the first stating the ISA had been put into such an holding account because I'd not told them what I want to do, then another a few hours later stating it has been transferred to Vanquis.  It isn't showing in the Vanquis account yet, but hopefully it will be by the end of the week.