Migration SIPP FAQ

Interactive Investor – introducing our new trading and investing platform.

 As the UK’s largest online financial community we’re proud to announce our new trading platform for all our trading and investing customers.

 As we move from our old trading service to our new trading account, we wanted to make sure we’d answered any questions you had, below:

 

 Frequently Asked Questions

Why are we making these changes?

What exactly is going to happen?

What do I need to do?

What will happen on the account transfer weekend (starting 28 October 2011)?

When do I need to return my transfer form by?

What happens if I miss the transfer form return deadline?

What are the differences between the two arrangements?

What administrative changes are taking place?

Who are the SIPP Trustee Provider Ltd (STP), The Lifetime SIPP Company (TLSC) and Hartley SAS (HSAS)?

What are the charges?

Will there be any changes to when charges are collected?

Do I have to transfer?

What if I do nothing?

Can I transfer to another provider at a later date?

What are the costs of transferring?

Can I withdraw my funds?

Can I take any benefits?

I am already receiving benefits, will this change?

Are the Terms and Conditions for the two SIPP accounts the same?

What if I change my mind and don’t want to transfer after I have said yes?

What happens if I have an ISA and Investment account as well?

Will I be able to view my historic information?

I have a regular direct debit set up – are there any changes?

What will happen to my existing TradePlan orders?

What will happen to corporate actions over the migration period?

I currently get reports and accounts - will this continue?

What if I have additional questions?

 

Why are we making these changes?

As the UK’s largest online financial community we’ve built our reputation on providing cutting edge technology to help you make the right financial decisions. In response to feedback from our customers we’ve now taken this one step further and developed a new trading and investing platform, which forms the core of your SIPP account.

The key benefits of our new platform will be:

  • A single account login across the website and investment account
  • Mobile trading, at no extra cost
  • Free limit orders and other automated trading strategies
  • New trading & account management screens including the ability to view a summary across all your accounts on one page
  • Enhanced functionality and integration with discussion boards, a virtual portfolio and equity research page

As you would expect from a company offering online financial services for over 15 years, we will continue to develop new enhancements to our platform as part of our ongoing service to our customers.  

 

What exactly is going to happen?

We have launched a new trading platform which forms the core of a new SIPP account. To transfer to this new platform and account, as a SIPP customer, you first need to confirm you are happy to transfer to our new service. These changes involve a change of administrator and trustee for your SIPP.

Once we receive your signed transfer form, we will transfer your financial assets to our new and improved trading platform.

The assets will all be transferred automatically, so that:

  1. From 31 October 2011, you will be able to login and trade as normal on it.
  2. You will be able to set up your new login details online, with a new, simplified login system. Instead of first logging into Interactive Investor and then into your SIPP account, you’ll now have one login to access your SIPP and any other trading accounts you have with us. To access your account/s you will use your current II username and password and a new PIN number (which you’ll be prompted to set up online).

Please be assured these changes will not affect your existing investments, their security or the level of service you receive from us.

Your exact holdings will be transferred and every holding will be reconciled by us.  

 

What do I need to do?

You need to sign and return the transfer form to us by Friday 14 October, in the supplied freepost envelope, confirming you accept the new terms and conditions and the change of nominee provider.

We included the terms and conditions and the key features document for your new SIPP. In addition, we also included a supplementary sheet with details of all the information you need regarding this transfer. Please note, while there are no material changes in the terms and conditions, we recommend you read the information provided carefully.

If you need another copy of this form please phone us on 0845 200 3637. 

If we don’t receive this form back from you your SIPP account will stay with HSDL and AJ Bell and be rebranded as a Halifax Share Dealing SIPP account (please note, dealing charges may differ).

Transferring the administration of your SIPP should be considered carefully and you may want to take independent financial advice.

Please be assured these changes will not affect your existing investments, their security or the level of service you receive from us.

Your exact holdings will be transferred and every holding will be reconciled by us.

 

What will happen on the account transfer weekend (starting 28 October 2011)?

On the transfer weekend, the online trading and investing service will be taken down at 4.30pm on the Friday, 28 October until 6am on the Monday 31 October. (Customers who want to trade US stocks will still be able to do this until 9pm on the Friday, by calling us on 0845 200 3637). The online service and access to your new account will be available from 6am on Monday 31 October.  

 

When do I need to return my transfer form by?

Our deadline for receiving your completed SIPP transfer form is Friday 14 October 2011.

As soon as we have received your form, we’ll send you confirmation of this, together with details of how to set up your new account login details.  

 

What happens if I miss the transfer form return deadline?

If your transfer form arrives after the transfer deadline of 14 October, we can’t guarantee your account will be transferred over to our new account, as part of our transfer process (at no cost to you).

A formal pension transfer can be quite a cumbersome process. As part of our transfer procedure we’ve been able to simplify both this process and the form you need to complete as part of it. We’re only able to do this for you if we receive your form before the deadline.

If you miss the deadline your account will be rebranded as a Halifax Share Dealing SIPP. The form you’ve completed and returned will be insufficient, so you’ll then need to complete another one to complete the transfer. You may also need to pay whatever transfer costs A J Bell charge you (you’ll pay no transfer costs, of course, if you transfer during our transfer period). In this case the transfer of your account could take up to eight weeks.

Remember, if you’re happy to transfer your SIPP account to the new trustee and administrator, please make sure you return your completed form to us by 14 October 2011.  

 

What are the differences between the two arrangements?

There are a new set of terms and conditions for our new service. However there are no material changes in the terms and conditions. Please note that there are significant administrative changes taking place which are listed below – but these do not affect the status of your investments.

You can review the full list of changes in our key differences document.

 

What administrative changes are taking place?

The current provider of the trading functionality for your account, and the custodian of your investment holdings (under the name HSDL Nominees Ltd), is Halifax Share Dealing Limited (HSDL).  Once the new service is introduced on 31 October 2011, and providing you are happy to transfer, the custody of your investments will transfer to Interactive Investor’s nominee company, Investor Nominees Limited.

The administrator and trustee of the current Interactive Investor SIPP are AJ Bell Management Limited and Sippdeal Trustees Limited respectively. Under the new service, The Lifetime SIPP Company will be the provider of the SIPP. The trustee of the new Interactive Investor SIPP will be the SIPP Trustee Provider Limited.

The Lifetime SIPP has a legally enforceable agreement with Hartley SAS Ltd (HSAS) whereby HSAS provides the day to day administration of the SIPP.

Please note: these are administrative changes and do not affect the status of your investments.  

 

What are the charges?

With our new trading platform you will still be able to trade with low funds charges and our competitive low-cost £10 flat fee for real-time UK trades on all our products. That price remains the same, whether you trade by phone, mobile or online.

In addition, we are reducing our maximum annual SIPP charge to £120 + VAT, from the current £150 + VAT. Customers with holdings of less than £50,000 who pay an annual charge of £75 + VAT will have this rate held for the next 12 months. Full details of all the SIPP charges are available within the key features document.  

 

Will there be any changes to when charges are collected?

SIPP fees are currently charged quarterly, in arrears, in January, April, July and October. With the new service, this fee will now be charged annually in advance from the date of the account migration.

As our migration date is the 31 October, we will be doing a one month fee run in early October for that month. Customers who choose to transfer will therefore be up to date. Customers who remain with A J Bell, will have two months fees taken in early January rather than three.  

 

Do I have to transfer?

No. However, doing nothing will result in your SIPP account staying with HSDL and AJ Bell, and being rebranded as a Halifax Share Dealing SIPP account (dealing charges may differ).

To transfer to another SIPP provider altogether, first you’ll need to open a SIPP account with them, then fill in the relevant transfer forms and then send them back to your new provider. Your new provider will then get in contact with A J Bell and they will liaise directly with them to complete the switch.

Transferring the administration of your SIPP should be considered carefully and you may want to take independent financial advice.  

 

What if I do nothing?

Doing  nothing will result in your SIPP account staying with HSDL and A J Bell, and being rebranded as a Halifax Share Dealing SIPP account (dealing charges may differ).  

 

Can I transfer to another provider at a later date?

Yes. You always have the option of transferring out from HSDL and A J Bell at any point, however you may incur charges.  

 

What are the costs of transferring?

There are no costs involved in transferring within our account transfer period (we’ll need to receive your transfer form by 14 October 2011). If you decide to transfer, all your holdings will automatically be transferred without any costs to you.  

 

Can I withdraw my funds?

No. The funds remain invested in the SIPP whether you transfer to another provider or not. They can only be accessed in accordance with the HMRC rules.  

 

Can I take any benefits?

As long as you meet the criteria to take benefits, and are over age 55, you can take benefits either
before or after you switch.  

 

I am already receiving benefits, will this change?

If you decide to transfer to the new SIPP, then as soon as we receive your transfer form we will be in contact with you to confirm all the necessary details in respect of income payments and bank details to ensure you have continuity of service.  

 

Are the Terms and Conditions for the two SIPP accounts the same?

Essentially, yes. There are a new set of terms and conditions for our new service. However there are no material changes to them except the change of plan manager. Nonetheless, we recommend you read the terms and conditions carefully.

 

What if I change my mind and don’t want to transfer after I have said yes?

The SIPP has a regulatory 30 day cooling off period, during which you are legally entitled to change your mind. Please refer to the new Key Features Documents. 

 

What happens if I have an ISA and Investment account as well?

Investors who also have an ISA and Investment account with us should have received a separate email about our new service. If you did not receive this email, please contact us on 0845 200 3637.

You will need to take action on your ISA and Investment account separately.

To read our FAQs on changes to your ISA and Investment accounts, please visit www.iii.co.uk/faq

 

Will I be able to view my historic information?

 Yes. You’ll be able to access all your previous trading history within your new account. Tax certificates and all other statements will also be available.

 

I have a regular direct debit set up – are there any changes?

SIPP customers, who have an existing direct debit mandate (DDM) in place, will have to complete a new direct debit mandate, as we unfortunately cannot transfer your existing mandate over to the new service. As a consequence the last direct debit that will be made on the current service will be made in October. You can set up a new DDM by filling in the direct debit form that was enclosed in the initial communication. As soon as we receive this, we’ll set up your new payment details. If you need a further form, you’ll be able to download it directly from the SIPP section of the Interactive Investor site, or you can ring us on 0845 200 3637 and we’ll be happy to send one to you.

 

What will happen to my existing TradePlan orders? 

Open tradeplan orders will be cancelled and you’ll need to set up new orders within your new account. The cost of all tradeplan orders that have been set up for a fee of £2, and are deleted as part of this process, will be refunded to your investment account within 2 weeks. Please note that the term ‘tradeplan’ will no longer be used, and will simply be referred to as order types. All order types can be set up for free from 31October 2011.

 

What will happen to corporate actions over the migration period?

New corporate action notifications will be in paper format from mid October. Online corporate actions will then be online, as usual, from 31 October 2011.

 

I currently get reports and accounts - will this continue?

Yes. Details of all customers who are currently on the record to receive AGM invites, reports and accounts and any other direct details will be transferred as part of the service migration, so this service will continue as normal.

 

What if I have additional questions?

If you have any further queries then please contact us either by phone;

0845 200 3637
[Monday to Friday, 8am - 9pm]

or email; sippqueries@iii.co.uk

 

Interactive Investor Trading Limited is authorised and regulated by the Financial Services Authority and is a member of the London Stock Exchange.  Registered office: Standon House, 21 Mansell Street, London, E1 8AA.  Registered in England with Company Registration Number 3699618.

 

The Lifetime SIPP Company LTD is Authorised and Regulated by the Financial Services Authority. Registered Address: Blandford House, 77 Shrivenham Hundred Business Park, Majors Road, Watchfield, Swindon. SN6 8TY. Registered Company Number 2455807