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  • FIRST POST
    somersetapple
    ISA transfer fees
    • #1
    • 3rd Dec 04, 7:34 PM
    ISA transfer fees 3rd Dec 04 at 7:34 PM

    --------------------------------------------------------------------------------

    I am seething this afternoon after a run-in with the Alliance and Leicester!

    A couple of weeks ago I went into my local branch and wanted to pay in three 5.00 notes, 3 cheques and 7 one pound coins.The cashier (the branch manager!) reprimanded me in no uncertain terms saying they didn't accept 'change' unless it was bagged in 20.00 amounts. I said that as it was a one-off and I normally bagged change up and there was no-one else in the branch waiting to be served,7 pound coins didn't seem to be a big deal. She wasn't having any of it and said 'I will do it for you this time , but please don't do it again!' I was miffed - it wasn't as if I chucked 7 pounds worth of loose change on her desk and as a paying-in customer it didn't seem too much to ask! Anyway she stuck to her guns quoting "the rules" and by the time she'd finished I was well and truley told off!

    I have decided that I will take my custom elsewhere and want to transfer my ISA account to another place ( that pays better interest by the way) but the A&L tell me there will be a 25.00 transfer fee!!!

    Now, I think this is daylight robbery, especially as I'm moving to another place due to their inflexible rules. I've been to all the other building socs/banks to ask if seven one pound coins would be a problem and they all said 'No!'

    Should I just pay it and cut my losses or should I write to the A&L telling them what I think? I wondered if there was anyone who worked in this field who might be able to suggest something!

    Somersetapple


Page 1
  • deemy2004
    • #2
    • 3rd Dec 04, 11:27 PM
    Re: ISA transfer fees
    • #2
    • 3rd Dec 04, 11:27 PM
    as I recall it halifax does not accept any change at all, bagged or not ? maybe I'm wrong.

    The A&L is gettign a lot of bad press, so they probably do inhabit the bottom end of the market in overall service delivery.

    Now they say they charge 25 for transfer out, maybe the worse part of it will be the amount of time taken to actually transfer out !

    • MarkyMarkD
    • By MarkyMarkD 4th Dec 04, 10:16 PM
    • 9,795 Posts
    • 4,216 Thanks
    MarkyMarkD
    • #3
    • 4th Dec 04, 10:16 PM
    Re: ISA transfer fees
    • #3
    • 4th Dec 04, 10:16 PM
    7 in pound coins is a trivial amount and I can't see why they wouldn't accept it.

    The 25 transfer out charge was not unique to A&L at the time it was introduced (which was years ago) but it seems that not many (if any) banks/BSs still levy such a charge.

    If it's in your Ts & Cs then it's fair enough, though, IMHO.

    I would definitely complain about the attitude over the cash though. The restrictions on cash deposits are meant to be there to stop people paying in bucket loads of cash and causing queues to build up, not stopping normal customers from paying in normal amounts.
    • blinko
    • By blinko 5th Dec 04, 12:06 AM
    • 2,304 Posts
    • 583 Thanks
    blinko
    • #4
    • 5th Dec 04, 12:06 AM
    Re: ISA transfer fees
    • #4
    • 5th Dec 04, 12:06 AM
    the only way to combat the charge is to work out wether its worth it in the extra interest otherwise just stick it out and get thge hell outta there asap
  • somersetapple
    • #5
    • 5th Dec 04, 1:44 AM
    Re: ISA transfer fees
    • #5
    • 5th Dec 04, 1:44 AM
    Thanks for your replies. I think I have resigned myself to the fact that I will have to pay the 25 quid :P although the small print was very small but if it was there, then it was there! I certainly wasn't told about it verbally when I took out the ISA.

    However I don't intend to pay it meekly 'cos I have sent a letter to their Director of Customer Services telling them I want a detailed account of how that 25.00 is arrived at - the same way I would expect a detailed bill from any service provider charging me for something. I've also told them I'll be charging them for my time and effort in finding an alternative since my desire to change was solely prompted by the unreasonable attitude of one of their staff.! >
    I once did this with the Nat West and it actually worked 'cos the problem was resolved almost immediately and I had a box of chocolates as an apology!
    Knowing what I do about the A&L I don't hold out any great hope but if nothing else it'll make me feel better!
    At worst I will pay, go somewhere else and make sure I dish the dirt whenever I can!!

    Somersetapple!


    • Reaper
    • By Reaper 5th Dec 04, 4:15 AM
    • 6,737 Posts
    • 5,111 Thanks
    Reaper
    • #6
    • 5th Dec 04, 4:15 AM
    Re: ISA transfer fees
    • #6
    • 5th Dec 04, 4:15 AM
    When looking for your next ISA just check if it is CAT standard. CAT standard ISAs are not allowed to charge you ANY fees (except for replacements e.g. duplicate statements).

    A good non-CAT standard ISA can still be worth going for, but then you do need to read the small print before signing.
    • paul666
    • By paul666 5th Dec 04, 10:56 PM
    • 94 Posts
    • 7 Thanks
    paul666
    • #7
    • 5th Dec 04, 10:56 PM
    Re: ISA transfer fees
    • #7
    • 5th Dec 04, 10:56 PM
    See here:
    http://news.bbc.co.uk/1/hi/programmes/moneybox/4068441.stm
    Moneybox did an article on it.

    A&L defends ISA charge

    Money Box has been contacted by a number of unhappy customers

    Alliance & Leicester has been forced to defend its policy of charging ISA customers who want to transfer their money to another provider.
    • isasmurf
    • By isasmurf 5th Dec 04, 11:14 PM
    • 1,763 Posts
    • 786 Thanks
    isasmurf
    • #8
    • 5th Dec 04, 11:14 PM
    Re: ISA transfer fees
    • #8
    • 5th Dec 04, 11:14 PM
    However, Mr Barber-Kebby said there were no plans to withdraw the charge and continued:

    "We have got an awful lot of customers, and we have had very little reaction or complaint from them. So we think they are happy with what we are providing to them."
    That's probably because all the ones who have complaints have left.
    • MarkyMarkD
    • By MarkyMarkD 6th Dec 04, 2:27 AM
    • 9,795 Posts
    • 4,216 Thanks
    MarkyMarkD
    • #9
    • 6th Dec 04, 2:27 AM
    Re: ISA transfer fees
    • #9
    • 6th Dec 04, 2:27 AM
    When looking for your next ISA just check if it is CAT standard. CAT standard ISAs are not allowed to charge you ANY fees (except for replacements e.g. duplicate statements).

    A good non-CAT standard ISA can still be worth going for, but then you do need to read the small print before signing.
    CAT standards are being binned because they were such a flop.
    • Walletwatch
    • By Walletwatch 6th Dec 04, 8:49 PM
    • 1,019 Posts
    • 584 Thanks
    Walletwatch
    Re: ISA transfer fees
    The Abbey Postal ISA is a good option, giving you 5.35% and CAT standard as well...
    • isasmurf
    • By isasmurf 6th Dec 04, 9:57 PM
    • 1,763 Posts
    • 786 Thanks
    isasmurf
    Re: ISA transfer fees

    CAT standards are being binned because they were such a flop.
    No, they're being renamed Stakeholder (albeit with slightly different terms)
    • MarkyMarkD
    • By MarkyMarkD 7th Dec 04, 2:17 AM
    • 9,795 Posts
    • 4,216 Thanks
    MarkyMarkD
    Re: ISA transfer fees
    Well, you can see it that way.

    The CAT standards for cash ISAs were pathetic in any case - the rate didn't have to be anywhere close to good; the only consumer-friendly thing was the lack of initial/exit charges. Almost every provider offered better non-CAT products than the few CAT ones others offered, so it was no wonder they are getting phased out.
    • isasmurf
    • By isasmurf 7th Dec 04, 7:04 AM
    • 1,763 Posts
    • 786 Thanks
    isasmurf
    Re: ISA transfer fees
    CAT standards were never intended to be an indication of how good the product was. They were only to set out some terms and conditions for those that weren't comfortable with financial products so they knew what they were getting and there were no hidden charges or restrictions.
  • somersetapple
    Re: ISA transfer fees
    Many thanks for the Moneybox link which I've now read!

    I'd quite like 5 minutes with Mr.Barber-Kebby! Having read his response to the complaints I am neither pacified or resigned to such blatent side-stepping of the issue.

    1. Transfer is " labour -intensive". How exactly? I've asked for a breakdown of this labour-intensive procedure step by step and so far haven't even had the coutesy of an acknowlegement!

    2.He says they "make the charge fairly clear" Fairly clear??? Why not crystal clear. I thought the basis of any contract was that both sides were absolutely clear about what they were signing up to!!

    3.He says they "did write" to all customers. Well I'm certain if they did tell me about this I would have been querying it!

    4.He says " If the information in our literature can be improved then that is something we will look at". Sounds like a man who is aware that things are not as watertight as they should be!!

    I STILL await a reply but I warn them my dander is up and I'm on the warpath!!!

    Somersetapple!
    • MarkyMarkD
    • By MarkyMarkD 7th Dec 04, 8:35 PM
    • 9,795 Posts
    • 4,216 Thanks
    MarkyMarkD
    Re: ISA transfer fees
    CAT standards were never intended to be an indication of how good the product was. !They were only to set out some terms and conditions for those that weren't comfortable with financial products so they knew what they were getting and there were no hidden charges or restrictions.
    That was exactly my point.

    "Standards" which specified nothing meaningful about the value of the product are worthless IMHO.

    A "CAT standard" product could attract customers in with a rate 1% above Bank of England Base Rate and then reduce it to a rubbish rate without affecting its CAT compliance.

    Whereas many non-CAT standard products gave guarantees regarding their rate compared to BoE base rate.
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