Transfer Cash ISAs Discussion Area

Loyalandtrue77

Hold on, Is maybe this why the new provider asks about those three options for funding then ?

They need to know how much of my funding will be made up of 'current year/subscription' new money ?

gwapenut

Yes, I've never had a situation like yours. I don't know all the intrincacies, sorry. I'd be tempted to do two transfers, "all" of my current year's funds, then "some" of previous years once the first transfer has completed. But I could be overcomplicating it.

Sorry, I can only give you intuition rather than experience on this one, and because it's not mattered to me in the past, I've not delved into the rules deeply enough.

Because of my inexperience in this, we're straying into "advice from bloke down the pub" territory, and it's too important to get it right, to rely on that.

masonic

Loyalandtrue77 said:

Hold on, Is maybe this why the new provider asks about those three options for funding then ?

They need to know how much of my funding will be made up of 'current year/subscription' new money ?

It doesn't really make much difference in your case (unless you have say £30k in an ISA, £20k from this tax year and you wish to transfer £15k, which you cannot do). It is your choice which ISA retains the current year money. This would be the ISA you could continue to add money to if you hadn't used your full allowance.

Loyalandtrue77

masonic said:

Loyalandtrue77 said:

Hold on, Is maybe this why the new provider asks about those three options for funding then ?

They need to know how much of my funding will be made up of 'current year/subscription' new money ?

It doesn't really make much difference in your case (unless you have say £30k in an ISA, £20k from this tax year and you wish to transfer £15k, which you cannot do). It is your choice which ISA retains the current year money. This would be the ISA you could continue to add money to if you hadn't used your full allowance.

I'm thinking this is why they ask the question on funding. So they know how much to consider as current allowance vs old money from pre 22/23 tax year. Seems quite an important step that I'd want top get right. How else would either of them know which account was to be considered as my 'current year's subscription' of which I can have only one. 

I'm maybe picking this up wrong, not sure. Either way I've cancelled the application and will be pursuing a branch based account where I can speak to someone locally face to face.

masonic

Loyalandtrue77 said:

masonic said:

Loyalandtrue77 said:

Hold on, Is maybe this why the new provider asks about those three options for funding then ?

They need to know how much of my funding will be made up of 'current year/subscription' new money ?

It doesn't really make much difference in your case (unless you have say £30k in an ISA, £20k from this tax year and you wish to transfer £15k, which you cannot do). It is your choice which ISA retains the current year money. This would be the ISA you could continue to add money to if you hadn't used your full allowance.

I'm thinking this is why they ask the question on funding. So they know how much to consider as current allowance vs old money from pre 22/23 tax year. Seems quite an important step that I'd want top get right. How else would either of them know which account was to be considered as my 'current year's subscription' of which I can have only one. 

I'm maybe picking this up wrong, not sure. Either way I've cancelled the application and will be pursuing a branch based account where I can speak to someone locally face to face.

They will be told exactly how much is coming across in current year money by the old provider when the transfer proceeds. They need to make sure in advance that what you intend to transfer includes either all of your current year money, or none of it. In other words, that it is possible to transfer the amount you specify.

Malchester

Transferred a cash ISA from Sainsbury Bank to Al Rayan. Sainsbury eventually transferred the funds electronically and closed my account meaning I had no access to it online. Then sent me 2 secure messages to the account they had closed so I could not read them. Now it turns out they forgot to send the history file to Al Rayan so they can't accept the transfer. Sainsbury Bank now sending the history file by snail mail delaying the transfer even more.

WH_Saint

Finally got round to transferring an old cash ISA with TSB to Close Brothers on April 20th. 2 months later the transfer has still not been completed. TSB are saying their electronic transfer request system "failed to read the electronic transfer request from Close Brothers". They say they have emailed Close Brothers many times to request a paper transfer document without reply. On speaking to Close they are saying TSB have not made any such request and they themselves have messaged TSB numerous times to understand what the issue is - again without reply. I am pretty much stuck as "piggy in the middle". Nobody on either side seems willing to pick up a phone and speak to the other side.

I have made a written complaint to TSB, as they hold my funds, and they have today called to say their investigation has concluded and they have not upheld my complaint. They did however offer me £50 compensation as they are unable to confirm they followed their verbal complaints procedure fully as they conveniently have no telephone record of that conversation.

My question is, if I now complain to the Financial Ombudsman will they expect me to have made a written complaint also to Close Brothers even though I am not yet a customer of theirs ? Or, if I name TSB as the subject of my complaint will the FOS carry out an investigation and decide where the blame lies ?

masonic

WH_Saint said:

Finally got round to transferring an old cash ISA with TSB to Close Brothers on April 20th. 2 months later the transfer has still not been completed. TSB are saying their electronic transfer request system "failed to read the electronic transfer request from Close Brothers". They say they have emailed Close Brothers many times to request a paper transfer document without reply. On speaking to Close they are saying TSB have not made any such request and they themselves have messaged TSB numerous times to understand what the issue is - again without reply. I am pretty much stuck as "piggy in the middle". Nobody on either side seems willing to pick up a phone and speak to the other side.

I have made a written complaint to TSB, as they hold my funds, and they have today called to say their investigation has concluded and they have not upheld my complaint. They did however offer me £50 compensation as they are unable to confirm they followed their verbal complaints procedure fully as they conveniently have no telephone record of that conversation.

My question is, if I now complain to the Financial Ombudsman will they expect me to have made a written complaint also to Close Brothers even though I am not yet a customer of theirs ? Or, if I name TSB as the subject of my complaint will the FOS carry out an investigation and decide where the blame lies ?

The receiving provider is responsible for managing the transfer, so unless there has been clear wrongdoing by TSB (sounds unlikely if what they received from Close Brothers was unreadable, and they've made reasonable efforts to contact Close Brothers to fall back to paper), I think the complaint you'd take forward in the first instance would be one against Close Brothers. You are a customer of theirs to the extent that you've entered into an agreement to have them transfer your ISA.

On the plus side, you won't have done too badly from being unable to invest this money over the last couple of months given the fall in most assets.

WH_Saint

Thanks for that masonic.

The bit about the receiving provider being responsible is good insight and also the fact that I am regarded as a customer of Close Brothers also makes sense.

I guess from your reply that I am best putting in a complaint in writing to Close Brothers and then if I get no joy, involve the Financial Ombudsman at that stage. I have stopped the transfer process and will look for another provider. Part of me thinks just move on, lesson learned, but if I don't take any action it may well be someone else having this problem in the future.

Also, as you say, with Cash ISA rates having increased over the last couple of months I can find a new home with a higher rate than at the time I started the transfer process. It's been frustrating but the silver lining being I will probably finish with more interest than if the transfer had gone according to plan ! 

masonic

Yes, I think it is worth pursuing a complaint against Close Brothers. For a little effort it can be allowed to tick along in the background while you find an alternative home for your money. There seems to be a genuine failing that they need to address, and having to compensate you for your efforts so far will help motivate them to look into it.