Nobody will talk to me...

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jsmurray
jsmurray Posts: 12 Forumite
in ISAs & tax-free savings
I want to transfer my MAXI ISA from M&G. I currently deposit a hundred quid a month into a FTSE tracker.

I tried HSBC and Halifax and they both need me to go into a branch to discuss it. I don't see why. I don't need advice, I just need it doing.

I want to stop adding to the unit trust, and just fill up my cash portion of £3k, then leave it alone so I can open a mini next year. M&G give a pants rate of interest (4%), but no transfer out penalties, so I figure I'll just move it.

Do any companies allow me to do this without meeting an IFA? Don't mind speaking to one on the phone.
When I was a kid I used to pray every night for a new bike.
Then I realised, God doesn't work that way, so I stole one and asked him to forgive me.
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  • MastG
    MastG Posts: 77 Forumite
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    If you have a maxi isa I believe you must transfer the whole thing as a maxi.
    You cannot split the bits into individual parts unless using a fund supermarket.

    If you are transferring the whole thing the banks will want to see you as
    1 they want to make sure you are happy with what you are doing
    2 they see you as a cash cow ripe for milking (moooooooo!)
  • jsmurray
    jsmurray Posts: 12 Forumite
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    Is there no ISA provider who can do it over the phone? I'm amazed.
    I can't remember the last time I went into a bank. Don't intend to start now.

    I didn't have to visit a branch when I took out my M&G ISA originally, as they don't have them. Just filled in a form online.
    When I was a kid I used to pray every night for a new bike.
    Then I realised, God doesn't work that way, so I stole one and asked him to forgive me.
  • isasmurf
    isasmurf Posts: 1,999 Forumite
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    MastG wrote:
    If you have a maxi isa I believe you must transfer the whole thing as a maxi.
    You cannot split the bits into individual parts unless using a fund supermarket.
    You can split up deposits made in the separate components from previous years, but deposits made in the separate components in the current year must be kept together (to keep within the 1 ISA a year rule).
  • jsmurray
    jsmurray Posts: 12 Forumite
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    Thanks for your advice guys, but just to clarify, I get it.
    Don't intend to split the ISA. Just move the Maxi to a new provider.
    No financial advice required.

    That's kinda my point ;-)
    When I was a kid I used to pray every night for a new bike.
    Then I realised, God doesn't work that way, so I stole one and asked him to forgive me.
  • dunstonh
    dunstonh Posts: 116,379 Forumite
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    I tried HSBC and Halifax and they both need me to go into a branch to discuss it. I don't see why. I don't need advice, I just need it doing

    Providers have to tell the FSA what distribution channels they will be using and they have to have a structure to support that. HSBC and Halifax have an advice distribution channel for regulated class business. That means that they will only take business in from one of the advisors. They could do execution only but tied advisors may not be allowed to do that by their employer.
    Do any companies allow me to do this without meeting an IFA?

    Neither of those companies are IFAs. Had you seen an IFA, it would have been a doddle and no advice would have been required if you didnt want it.
    M&G give a pants rate of interest (4%), but no transfer out penalties, so I figure I'll just move it.

    You said that the M&G is a FTSE tracker. If thats the case it doesnt pay interest. Can you clarify what it is?
    No financial advice required.

    You may think its unhelpful on their part but their hands are tied by the FSA. Basically, you are going to the wrong people.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • greenwich
    greenwich Posts: 8,044 Forumite
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    I think you must have talked to someone who was a bit too keen to corner you in a room and sell you things. I can't speak for Halifax but it's certainly not necessary to go to an HSBC branch to transfer your ISA to them. You can do from their website: http://www.hsbc.co.uk/1/2/personal/savings-investments/investment-funds/how-to-buy
    Eh?? I give up!! Towel is getting thrown in here! :D
  • jsmurray
    jsmurray Posts: 12 Forumite
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    Thanks for the explanation dunstonh.

    As I mentioned in my first post, the M&G Maxi ISA wraps my FTSE tracking unit trust (£100/month). I don't have any cash in the Maxi ISA yet, and don't want to put any in with them, as M&G only pay 4%. Hence the reason for the move.

    So I am going to the wrong people? Excellent. So who are the right people?

    I'm looking for a Maxi ISA provider who doesn't need me to come into a branch (I can do the forms by post), and also pays more than 4% for the cash portion. I'm not to bothered about the new providers unit trusts, as they almost all have a FTSE tracker.

    For the record, I don't have anything against IFA's, and I ain't a bank robber afraid to show my face. I do ALL my christmas shopping online, and expected I'd be able to manage my investments online too. This ain't the 80's.
    When I was a kid I used to pray every night for a new bike.
    Then I realised, God doesn't work that way, so I stole one and asked him to forgive me.
  • jsmurray
    jsmurray Posts: 12 Forumite
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    Cheers for the link greenwich. I wanted to check out their rates for the cash portion of the maxi isa, but couldn't see them published which is why I called before I'd seen those forms.
    HSBC only give 4.1% (http://www.ukpersonal.hsbc.co.uk/public/ukpersonal/personal_banking/useful_information/en/any_interest_rates_savings_accounts.jhtml) so that rules them out for now.
    When I was a kid I used to pray every night for a new bike.
    Then I realised, God doesn't work that way, so I stole one and asked him to forgive me.
  • dunstonh
    dunstonh Posts: 116,379 Forumite
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    Thanks for the clarification.
    So I am going to the wrong people? Excellent. So who are the right people?

    Either find a site online that will do it or get an IFA to do it. It can only be done on execution only basis if you know what provider you are going to use. If the person needs to recommend the provider, then it would come under advice rules.
    For the record, I don't have anything against IFA's, and I ain't a bank robber afraid to show my face. I do ALL my christmas shopping online, and expected I'd be able to manage my investments online too. This ain't the 80's.

    Fair enough that you want to be able to do it but financial services is regulated by the worlds biggest and most powerful regulator, the FSA. They lay down a number of requirements and exceptions for various distribution channels.

    If you want to do it yourself, on the internet. You can. You find a discount IFA (a number are mentioned on this site) and you tell them what you want and you fall under the execution only distribution. If you don't know what you want, you fall under the advice distribution method.

    You say you don't want advice but you are asking for advice but you don't appear to have picked a provider yet. Once you know who that provider is, then you can do it.

    However, you may hit a second snag. The provider you want may not be authorised to accept applications direct from the public. They may only accept business through someone who has FSA authorisation. So, you are back to IFA's again. Your problem may be that if the transaction does not earn the IFA any money (which is likely with what you are doing), then you should expect to pay a fee for the transaction. If its just a case of sending an application to a provider, on execution only basis, then expect around £25. (no, its not just a case of putting the IFA stamp and agency number on the application. An execution only form needs completing and a letter written to you confirming that the advice was done on execution only and what that means. Copies of everything need to be kept).

    Its equally as fustrating at times, to those of us on the other side ;)
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • jsmurray
    jsmurray Posts: 12 Forumite
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    Cheers dunstonh. That makes a lot of sense. I stuck £3k in with M&G last night. May as well take their 4% for now. When I get some time, I'll try and find a higher paying provider that lets me move the account online, or by post.

    If anyone knows of one that pays more than 4.5%, please share.
    When I was a kid I used to pray every night for a new bike.
    Then I realised, God doesn't work that way, so I stole one and asked him to forgive me.
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