LloydsTSB Fixed rate Isa 6.5%

bristolleedsfan

roddydogs wrote: »

Could someone explain the "Backdating" bit-do you get the full 6.5% for one year, or what? thanks

Other posters have confirmed that LloydsTSB start paying interest on ISA transfer Ins to coincide with when the transferring out ISA (s) was/were closed to ensure that no loss of interest is incurred while transfer cheque is in transit and being banked.

It is therefore not true that LloydsTSB have allowed a backlog to build up on purpose so that they end up paying less interest. :rotfl:( the longer LloydsTSB take to bank the transfer cheque (s) the more interest Lloyds/TSB lose.)

Joey122

Who has confirmed this?

Link please?

Joey122

johnmoney05 wrote: »

Opened my account on 4 Feb transferring my old isa from Kent RBS. Received letter from Kent RBS dated 29 Feb confirming that money had been transferred to LTSB. Sent out complaint letter on 11 Mar and a phone call on 12 Mar. No reply. Called again today, talking to them after half an hour. Just asked them to confirm if they received the money. So simple question. They couldn't confirm, but called me back in an hour, another half an hour on the phone. Was told that "government sets the rules that they are entitled to take 5 weeks after receiving the money to set up the account". Called Financial Ombudsman, was told that they didn't realise that there was such rule, and guessed must be internal rules. I asked if any way to check it up, the guy was not very helpful, told me that they were not the one setting up the rules for the cash ISA. And told me that he could not help me. But he did say if during the transfer I lost any day of interest. I could lodge a complaint to them, then they would check it up. I did ask if he didn't know what the rules is, how could he deal with the complaint. He started losing patient, and said he could not do anything untill things happen.

JohnMoney - Did you get backdated interest?

I want to transfer a fair bit of cash from KRBS to Lloyds TSB

bristolleedsfan

Joey122 wrote: »

Who has confirmed this?

Link please?

http://forums.moneysavingexpert.com/showthread.html?t=725969&page=15

20-03-2008, 10:46 AM #283 Judwin
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Quote:

Yup. Mine's up and running.

12 Feb : Applied in Lloyds branch for transfer in from Abbey
13 Feb : Account shows on online banking with nill balance
23 Feb : Letter from Abbey stating account closed and transfered to Lloyds
06 Mar : Funds appear in online banking
09 Mar : Letter from Lloyds confirming backdated interest

So it looks like you need to allow 4 weeks for the transfer to happen. However, all is not well. Full story back in post #157 of this thread.

Cheers,
Judwin




http://forums.moneysavingexpert.com/showthread.html?t=725969&page=13

15-03-2008, 9:49 AM #242 Somerset
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I said I'd update here when my other two isa's arrived.

One took 6 days, the other took 13 days. Again, letter received shortly after confirming interest payable for the 'transit' period - days correct, rate correct and amount correct. So, very impressed.

johnmoney05

Joey122 wrote: »

JohnMoney - Did you get backdated interest?

I want to transfer a fair bit of cash from KRBS to Lloyds TSB

Nothing from them yet. I already made 3 complaints to them (letters, phone calls). They don't even acknowledge my complaints at all.

KRBS side didn't have any problem. They wrote to me on 29 Feb confirmed account closed and fund transferred to Lloyds.

Only Lloyds TSB (they said to me on the phone), they don't need to tell me what happen after 5 weeks from fund receiving. They have terms and conditions to cover it so they told me. After I insisted, I should be entitled to know if my money from KRBS safe arrived to them. They called me back to confirm "yes". The money arrived on 26 Feb.

Anyway, it might be just my case. But so far, I can't do anything. Because KRBS already closed my account. And the account with LTSB is fixed for one year. It is almost 24K. I am really unhappy about it. I know I should not or would not lose interest on the 24K. But at least, they should have let me know the money arrived and would take one month or two months to show up on my account. Or even acknowledge my complaints. I know 24K is not much to the bank, well, it is my money. I should be entitled to know what happen to it.

To be honest, I regretted making the choice for LTSB.

roddydogs

Obviously some people have bee luckier than others-mine nearly 5 weeks, and neither exixting ISA providers have been contacted yet!

sheslookinhot

Chill, your money is safe it will be locked away for a year. whats the problem over a few days or even weeks.

Fella

roddydogs wrote: »

Obviously some people have bee luckier than others-mine nearly 5 weeks, and neither exixting ISA providers have been contacted yet!

Indeed. And although Lloyds may (or may not, I'm not counting my chickens) backdate interest to the date your old account is closed, what they certainly won't do is compensate you for the (presumably lower) rate of interest you've been getting during the 5 weeks that Lloyds haven't done a thing to contact your (or my) existing provider. Abysmal conduct.

johnmoney05

sheslookinhot wrote: »

Chill, your money is safe it will be locked away for a year. whats the problem over a few days or even weeks.

Look! If your account with LTSB is opened. The balance is nil. And your old cash ISA provider told you that your account was closed and money had gone to LTSB.

Don't you think there might be a problem?
1. Cheque in transit might get missing.
2. Money might credit into wrong account.

My question is:-

1. Does LTSB need to take more than a month to credit a cheque into my account?
2. Whether a letter or a phone call to acknowledge the receipt of the money is so difficult? I received quite a lot of junks letters from them in a year.

Again, it is MY money. I should be entitled to know what happen to it. In fact, I have lost the control of MY money the last one and a half month. I couldn't withdraw it if I need it even I prepare to pay the penalty. Because the money is with their system some where and not in my account. Of course the money is safe. But it is not under my control at the moment.

You might be "Chill", I am not.

Fella

JohnMoney, what you are saying is completely right. You & many others have applied for a product in good faith, done everything you were asked, & then been left in limbo. It's not acceptable.

IMO it's very foolish for others to be blase about this situation. No-one on here knows about the personal circumstances of other posters, or how much stress this might cause them.