LloydsTSB Fixed rate Isa 6.5%

debbie42

echelon wrote: »

Is this a mistake, or will it disappear once the transfer takes place? Should i be naughty and put another £3,600 into my 2008 ISA?!

It's up to you to manage this, not them.
My understanding is that HMRC check the allowances via your NI code. So they will find out eventually.

sloughflint

johnmoney05 wrote: »

So you think it is right for a big organisation like LTSB had to take 2 months to transfer a cash ISA. Oh well, don't bother to answer. I am saving my breath.

LOL
No not at all. I'm having fun and games myself with LTSB on the complaints front on behalf of someone.I despair with that establishment.

You would not have understood the irony in my mind as I wrote my post.
You get offered £50 when they are going to pay you interest anyway. I ( well ANO) gets offered £25 to keep quiet about lack of security.;)

echelon_2

debbie42 wrote: »

It's up to you to manage this, not them.
My understanding is that HMRC check the allowances via your NI code. So they will find out eventually.

Thought so - i wasn't really going to do it. Does seem odd though - why did Lloyds bother asking how much ISA I had left for 2008/2009 if they're not going to tie it in with the "You still have xxx of allowance left" part of the ISA online banking.

exel1966

johnmoney05 wrote: »

My old ISA was closed on 28 Feb. LTSB only credited the money on 8 Apr on my account. Although they wrote me a letter saying that I would not lose out any interest, they didn't mention how they backdating my interest. And how the one year term would run. They credited £50 into my current account as goodwill gesture. I wrote them back today. And telling them I am taking the matter up with Financial Ombudsman.

Transfers should take no more than 30 days which is the guideline set by HMRC.
Lloyds have obviously taken longer than that and have given you £50 for the delay. They have also backdated all the interest for you. What more exactly do you want ?

The FO WILL NOT entertain any matter unless the correct procedures have been. Have you followed the due process ?

exel1966

madonss wrote: »

Here’s my tale of woe:

Trying to open the account with a transfer from my existing ISA of over 9K and then adding 2008-09 allowance.

1st March: Spent 1.5 hours in branch without actually managing to open an ISA (too long a story for here!)

8th March: Went back to branch an actually got the forms filled in. Only took about 40 minutes.

Weekend of 28th March: Intelligent Finance ISA disappears from online banking. Can no longer access plan to confirm date or amount since that was the only account I had with them.

5th April: Went into Lloyds to check balance. Balance showing as credited 2nd April, but interest calculation from Intelligent Finance looks wrong to me.
Letter from Lloyds confirming receipt and credit of transferred balance waiting for me when I got home. No mention of backdated interest.

7th April: Rang IF to query interest and ask why I hadn’t received a closing statement. CS rep “spoke to another department” and said they’d correct the interest and send a statement. They didn’t discuss the figures, just said it would be corrected.

8th April: Paid in this years allowance over counter at different branch.

15th April: Checked balance in branch and confirmed deposit was showing.
Still no sign of a correcting deposit for the interest from IF.
Still no letter from Lloyds about backdated interest.
Still no statement or letter from IF about the incorrect interest calculation.


Letters of complaint to both organisations to be written next week I feel.

In the case of Lloyds what exactly do you have to complain about ?

dkmax_2

madonss wrote: »

:rotfl: That's brilliant!
I agree that the T&C's apply once the accout is opened, BUT it's the arrival of the funds that opens it! We need a set of T&Cs for the interim period.

The opening process requires a promise of a transfer or a deposit so there is no need to build this into the T&Cs - once you have cleared those initial steps the account is open. Indeed, transferring money to a closed account is an impossibility, by definition. You will also note that the T&Cs say nothing about when the account opens but they do say when the fixed period starts.

exel1966

sloughflint wrote: »

If only this had been put in the T&Cs. I can't be the only person who wants to see this sort of thing in writing and not have to wait a whole year ( well not quite) and check the interest calculation.

Cheques are the preferred method for ISA transfers from one organisation to another. As we all know and dislike cheques take 3-4 days to clear with the current system.
Lloyds are willing to backdate interest from the moment the previous ISA Manager stops paying interest. That is NOT the norm with ISA's, one or two others will do that (eg YBS), most others will not, therefore a few days lost interest can be expected in most cases.

madonss

exel1966 wrote: »

In the case of Lloyds what exactly do you have to complain about ?

Mostly the lack of automatic backdated interest. The backdating of interest was on their phone message, which was one of the things that drew me to the offer. Other posters seem to have had letters fairly swiftly giving details of dates and amounts. Twelve months is a long time to wait to "see" if they get it correct.

I'd like to know exactly when the 12 months is up since the T&Cs seem to me to be ambiguous.

If I was feeling particularly narked I could add the fact that no welcome pack arrived to tigger the "cooling off" period as per their own T&Cs, and also a bit of a general moan cause I wasted so much time in their branch the first week I tried to open it.
These last two points I add tongue in cheek to an extent. I normally let things like that slide, since I recognise that everyone is at the mercy of the "systems" they have to use, and it's no good getting worked up over them.

sloughflint

exel1966 wrote: »

Lloyds are willing to backdate interest from the moment the previous ISA Manager stops paying interest.

My gripe is that I haven't been able to get this info in writing other than by writing a letter seeking confirmation of the fact.Sadly, I don't trust word of mouth by branch staff when they have been found in my experience to give incorrect info in the past on other matters.
When it is an internal transfer and a closing letter and an opening letter are dated a week apart, and no mention of backdating,wouldn't your alarm bells ring a bit?

Some serious room for improvement in many areas, I feel.

derrick

The following is from the T&Cs of Lloyds FRISA. No 2 under "Account opening",(and which I have highlighted in red), seems to be what most are talking about; -



B. STANDARD VARIABLE RATE LLOYDS TSB CASH ISA TERMS AND CONDITIONS.
These conditions apply from the end of the 12 months Fixed Rate period. CASH ISA TERMS AND CONDITIONS -YOUR COPY
These terms form the agreement between us and you for a Cash ISA. The agreement is with Lloyds TSB Bank pic or Lloyds TSB Scotland pic as applicable ("us" or "we") (see condition 10.9). Lloyds TSB Scotland pic and Lloyds TSB Bank pic are both ISA managers within the definition set out by HM Revenue & Customs.
1. ACCOUNT OPENING
1.Before opening your account, we may take up references or otherwise satisfy
ourselves of your identity and eligibility as an account holder. We can refuse to open
a Cash ISA or accept a deposit without giving any reason.
2.Your Cash ISA will start from the date of your first deposit which must be
accompanied by a valid application form. Applications cannot be backdated.
3.You can open a Cash ISA by transferring the entire balance of a Cash ISA held with
us or another approved ISA provider or by providing a deposit with your application.
The first deposit must be at least £10.
4.The administration of your Cash ISA will be carried out by Lloyds TSB Bank pic.
Queries relating to your Cash ISA may be made at any branch or through Telephone
Banking, if you are registered.
5.We may listen in to (or record) any phone calls with you to check we have carried
out your instructions correctly, to help improve our service, and to help detect or
prevent fraud or other crimes.
6.Your cancellation rights: If you apply for a Cash ISA you will be able to change your
mind and cancel your account at any time before the end of the 14-day period
starting, in the case of Internet Banking applications, on the day your account is
opened, and in all other cases on the day your account is opened or the day you
receive your ISA Welcome Pack, whichever is later. If you exercise your right to
cancel you are free to subscribe to another ISA in the same tax year. If you decide to
cancel we will repay you any money you have paid together with any interest due on
it, or help you to switch the balance to another account. To cancel this agreement
you should tell us by writing to us at Lloyds TSB Bank pic, BX1 1LT. There are no
charges for cancelling your Cash ISA agreement, and you do not have to give any
advance notice.
2. INTEREST
1.Interest will be calculated on a daily basis on the balance of the account at the rate
applicable on that day on the cleared funds held in your account. If the balance of
funds in your Cash ISA falls below £10 you will not receive interest on your account.
Interest will start to be paid again (on the whole balance) if the balance is restored
above that limit.
2.The rate of interest will vary depending on the amount invested in your Cash ISA.
3.You can find out the current interest rates at any of our branches, by telephoning us
on the Interest Rates Helpline on 0845 300 0032, or by visiting our website at
www.lloydstsb.com/isa.
4.Interest will be paid to you once a year on 31 st March. Whilst your ISA continues to
qualify interest will be paid tax-free. If 31st March falls on a weekend or bank
holiday it will be paid at close of business on the next working day. Interest will be
paid into your Cash ISA.
3. DEPOSITS
1.You may make a deposit into your Cash ISA at any time assuming you have not
already reached your annual contribution limit. You can make your deposit by
transfer from any ISA account which you have subscribed to in previous tax years (in
which case you must complete an ISA transfer form as part of your application).
Alternatively you can make a new deposit through your branch, or you may be able
to make your deposit by transferring money from certain other Lloyds TSB accounts
through our Telephone Banking or Internet Banking services (if you have registered
for them).
2.You may make regular monthly payments to your Cash ISA. If you choose to do so
they must be made from a bank or building society account ('your nominated
account') of which you are a named account holder. If your nominated account is a
Lloyds TSB current account any payments must be made by standing order. If your
nominated account is not a Lloyds TSB account any payments must be made by
Direct Debit. We will collect the payment directly from your account on the date you
specify (or the next working day if that happens to be a weekend or bank holiday).
3.There is a limit to how much you can invest in any tax year. We may change the
maximum amount to allow for changes to the limit introduced by HM Revenue &
Customs in any particular tax year.
4. WITHDRAWALS AND TRANSFERS
1.You may make a withdrawal (minimum £10) from your Cash ISA at any time. Your
withdrawal request may be made at any branch, or (if you are registered for these
services) through Telephone Banking or Internet Banking. We will carry out your
request within the time you stipulate, as long as we have a reasonable period (no
more than 30 days) to implement your request. Your funds can either be transferred
into another account or paid as cash or as a cheque. If you request payment by
cheque, the standard fee for cheques will apply. After making a withdrawal you may
not be able to deposit that amount again.
2.You may ask to transfer the whole of your Cash ISA during a tax year in which you
make payments into it, or the whole or part of your Cash ISA deposits (and interest)
from a previous tax year or years, to a cash ISA or a stocks and shares ISA with
another ISA provider or to another Lloyds TSB ISA account in your name. If you
wish to make a transfer to another ISA account with us you should write to us at
Lloyds TSB Bank pic, BX1 1 LT. In the case of a transfer to a Lloyds TSB Stocks and
Shares ISA (if available and provided you are 18 or over and otherwise eligible for
that type of account) you will need to complete a transfer application. We will carry
out your request within the time you stipulate, so long as we have a reasonable
period (no more than 30 days) to implement your request. If you wish to make a
transfer to an ISA with another provider you must send a transfer application to that
provider.
3.Neither the funds nor your rights in the Cash ISA may be:-
a. assigned or transferred by you to anyone else; or
b. given or promised by you as security for financial liability such as a
personal loan but this does not stop you transferring funds to someone
else after you have withdrawn it from your account.