Plum ISA transfer out - interest forfeited

Ayr_Rage

https://forums.moneysavingexpert.com/discussion/comment/81972220#Comment_81972220

No chance using that logic, the Ts and Cs are always available if you can be bothered, it's not Plum or any provider that is responsible for spoon feeding lazy customers.

It was YOU that had the opportunity to read and understand the Ts and Cs from when you became their customer and should've checked when requesting the transfer out as well.

Babycakes

https://forums.moneysavingexpert.com/discussion/comment/81972241#Comment_81972241

Under the Consumer Rights Act 2015, unfair contract terms are not legally binding on consumers. Terms are unfair if they cause a significant imbalance in the parties' rights and obligations to the detriment of the consumer, contrary to the requirement of good faith. They often include excessive cancellation fees, hidden terms, or excessive consumer liability

Not sure how this relates to the Financial Services Act, but I assume that expecting everyone to read T&Cs is going to fail, given that most people do not, and that many that do read them, may miss the clauses. This is why the keyfacts are always presented separately.

For many cash ISAs, providers pay interest up to the day the transfer is carried out, so it was easy to assume Plum would too. Terms should be transparent. This did not appear to be transparent to me

masonic

https://forums.moneysavingexpert.com/discussion/comment/81972246#Comment_81972246

This is not an unfair term. You'd know that if you took some time to understand the nature of the product. If you can't be bothered to understand what you are putting your money into, then that's fine, but you have to accept that you might get some unpleasant surprises down the line.

Babycakes

https://forums.moneysavingexpert.com/discussion/comment/81972255#Comment_81972255

Perhaps, and a lesson has been learned

born_again

https://forums.moneysavingexpert.com/discussion/6665168/plum-isa-transfer-out-interest-forfeited

If you go on their website

https://withplum.com/cash-isa

In the summery box of FAQ

Important to know

If you cancel your Cash ISA or close your Cash ISA mid-month, you'll lose any interest accrued for that month.

If you transfer to another provider during your bonus period, your rate will be reduced to the basic rate, and all interest accrued in that month will be forfeited.

Companies do expect people to read T/C's or they would not be published.

Ayr_Rage

Quoting consumer rights in regard to a financial product shows your misunderstanding of the situation.

As others have said, Plum and some other providers have quirks.

Saying that the terms were not transparent to you is quite frankly a ridiculous statement as they were available to be read at any time.

Never assume anything,

Babycakes

So a quick google has brought this up for me:

"Transfers are encouraged with the ISA system, but transfer dates are outside a consumer’s control in terms of completion date

Consumers cannot reliably time a transfer to the last day of a month, yet face an interest penalty otherwise. That creates foreseeable harm."

So it does appear to be an unfair contract term. I will make a complaint and go to the Ombudsman as this is a consumer product.

trickydicky14

https://forums.moneysavingexpert.com/discussion/comment/81972208#Comment_81972208

Your lucky it took me overt 3 weeks and that was only due to me contacting them over and over.

masonic

https://forums.moneysavingexpert.com/discussion/comment/81972304#Comment_81972304

That looks like AI slop to me. Consumers can specify a future date for a transfer, so that bit is plain wrong. Timing it for the last day of a month would result in interest being lost for the whole month, so that's also wrong.

eskbanker

https://forums.moneysavingexpert.com/discussion/comment/81972304#Comment_81972304

That seems to relate more to unpredictability of timing, rather than the interest forfeit issue, but where specifically did that come from? All sorts of stuff is accessible via search engines, some of it authoritative, some of it credible, much of it less so!