Opening new Vanquis ISA

PeskyBlunder

I want to open a new 1 year fixed rate ISA with Vanquis solely for the purpose of transferring a maturing ISA from another provider. I have also funded another ISA this year. The first question in the application is "Have you already opened an ISA in this tax year?". Truthfully answering "yes" to this brings up the response:

"You have indicated that you have already opened an ISA in the current 
tax year. You can only open this ISA by transferring your current
years ISA subscription, in full, as an opening balance.

If you would like, you can also transfer other ISA holdings you have 
opened in previous TAX years as part of your opening balance."

It seems to me that this goes against the rule that allows multiple ISAs to be opened? I've asked them to clarify this but was wondering if anybody else has tried to do this.

eskbanker

This was discussed quite a lot when the rules changed last year, as many ISA providers weren't willing to support multiple cash ISAs being funded concurrently ('opening' is actually irrelevant), even across multiple providers, despite this now being permitted.

The point made then was that such a stance is unlikely to be enforceable in court, as it's fundamentally anti-competitive, so in the circumstances the most pragmatic solutions would be (a) stick to better providers and/or (b) be economical with the truth on applications....

PeskyBlunder

Just received a reply from Vanquis:

"Thank you for your secure message of 18 September regarding your Vanquis Bank Savings account. We are aware of this issue with the question and are looking into getting this amended, in the meantime please answer “no” to this question and then proceed. Apologises for any confusion."

So, I can be economical with the truth with added impunity.

phil2010

Do you have to give the ISA transfer instructions as part of the application or can you request the transfer at a later date after the account has been opened?

I'm thinking of opening the account before it disappears and then make a final decision on whether it's still the best option when my old ISAs mature in 3 weeks time.

PeskyBlunder

I did give instructions when I opened it though there's still a few days until my maturing ISA actually matures. I was glad to fix at the rate when I did. I don't know if it's possible to give instructions later - sorry.

Isarulesaretoocomplex

A little off topic but im looking at a transfer of my cynergy fixed rate cash isa into vanquis..my cynergy isa matures 15th April and looking at the vanquis site it has a box which you tick to allocate on maturity ...question is do I have select my maturity option with cynergy or will it impact the transfer if it goes into another fix ..or should I select the transfer into the flexible 1% option.

nottsphil

https://forums.moneysavingexpert.com/discussion/comment/81650978#Comment_81650978

II was about to post how relieved I was after making such a declaration on Wednesday, then I noticed you posted this in September. Vanquis have done absolutely nothing since. They are a third-rate outfit with incompetent staff and if you're lucky to get anything other than an electronic reply to your email, they will say they'll contact you but then not bother.