Full ISA Guide Discussion Area

bubbles0169

I just checked the t& cs and it looks like the interest wil be paid after 1st of march so I'm going to tell the venue they'll have to wait a couple more days! Theres no withdrawal fee either, thanks for your reply:)

NilReturns

Hi Folk

Does anyone know or have a view on how safe are share ISAs are if the provider goes bust, or if the provider has a bad case of fraud? (I know the rules are NOT the same as for cash ISAs!)

I'm thinking of starting up multiple accounts, but this has it's downsides with fees and flexibility (my funds would be fragmented and make it harder manage, for example I would not be able to reinvest all dividends into a single new investment).

If I were to do start up multiple accounts, what do folk think would be a sensible maximum per account?

Thanks

Lokolo

NilReturns wrote: »

Hi Folk

Does anyone know or have a view on how safe are share ISAs are if the provider goes bust, or if the provider has a bad case of fraud? (I know the rules are NOT the same as for cash ISAs!)

I'm thinking of starting up multiple accounts, but this has it's downsides with fees and flexibility (my funds would be fragmented and make it harder manage, for example I would not be able to reinvest all dividends into a single new investment).

If I were to do start up multiple accounts, what do folk think would be a sensible maximum per account?

Thanks

http://www.fscs.org.uk/what-we-cover/eligibility-rules/compensation-limits/investment-limits/

NilReturns

Lokolo wrote: »

www fscs org uk<slash>what-we-cover<slash>eligibility-rules<slash>compensation-limits<slash>investment-limits<slash>

Thanks Lokolo

However that will not apply in my case, as I have a self-select / execution only account & don't take advice, so I'm not looking for protection against mis-selling;

For an investment claim to be eligible to receive compensation from us, it must meet all of the following criteria:
(a) the advice you received to buy the investment must have been given on or after 28 August 1988; and
(b) the firm that advised you must have been authorised by the appropriate regulator to do so at that time; and
(c) you must have lost money as a result of the advice you were given; and
(d) the firm (or its principals) no longer has sufficient assets to meet claims for compensation.

and

In order to calculate how much compensation you may be due, we need to calculate whether you have lost money as a result of the advice you were given.

both from: www fscs org uk<slash>what-we-cover<slash>products<slash>investments/qas-about-investments<slash> (sorry as a newbe the forum does not let me post a link)

The risk I am thinking about is particularly if the stock broker goes bust and does not have all my money in the nominee account, or if there is fraud such as someone at the stock brokers stealing from the nominee account.

Many thanks

Lokolo

NilReturns wrote: »

Thanks Lokolo

However that will not apply in my case, as I have a self-select / execution only account & don't take advice, so I'm not looking for protection against mis-selling;
and
both from: www fscs org uk<slash>what-we-cover<slash>products<slash>investments/qas-about-investments<slash> (sorry as a newbe the forum does not let me post a link)

The risk I am thinking about is particularly if the stock broker goes bust and does not have all my money in the nominee account, or if there is fraud such as someone at the stock brokers stealing from the nominee account.

Many thanks

The FSCS is there for incase the broker does go bust whilst your money is there. Nothing to do with mis-selling.

As my link says, the compensation is there for firms that go into default whilst holding your investments.

However, the fraud element you speak of is separate to the FSCS and you would need to first go through the provider, who will then investigate. Should you not be satisfied you can then complain to the FOS.

NilReturns

Lokolo wrote: »

The FSCS is there for incase the broker does go bust whilst your money is there. Nothing to do with mis-selling.

As my link says, the compensation is there for firms that go into default whilst holding your investments.

However, the fraud element you speak of is separate to the FSCS and you would need to first go through the provider, who will then investigate. Should you not be satisfied you can then complain to the FOS.

Thanks Lokolo

francesca89_2

I've recently opened a cash ISA with `nationwide, but have yet to deposit money into it (or transfer previous year's ISAs in). However, today you have flagged up a better rate cash ISA. Do I have to continue with the Nationwide one or, since I have yet to put anything in to it can I withdraw and start a different one

Lokolo

francesca89 wrote: »

I've recently opened a cash ISA with `nationwide, but have yet to deposit money into it (or transfer previous year's ISAs in). However, today you have flagged up a better rate cash ISA. Do I have to continue with the Nationwide one or, since I have yet to put anything in to it can I withdraw and start a different one

You are free to open one elsewhere as long as you haven't deposited (new money) i.e. you have a £0 balance.

cowjunior

Hi there,

When providers ask for a minimum deposit such as Santander's (Issue 9 ) £2500 deposit for their ISA do they accept transfers as the deposit or is it supposed to be new money?

the-mango

I'm really sorry if this is a stupid question but i've tried to google it and i can't find the answer. if my income is not taxed (because i dont earn enough) is it still worth me getting an isa?