Questions Of Cash: 'Nationwide held on to my ISA for six months'


Q. A couple of years ago you helped with a large debt from O2 Ireland. As a result of your help, O2 Ireland stopped making demands for an old disputed mobile phone bill. But now my mother in County Cork has received a demand from debt collectors for €1,180.34 (£1,060), addressed to me. MR, London.

A. The result was not completely satisfactory last time: we were unable to obtain confirmation that the disputed debt had been written off. That debt re-emerged in February, when your mother received a new demand from debt collectors, the Irish Debt Bureau. Happily, we can report a better outcome this time.

We contacted the Irish Debt Bureau, which immediately ceased its attempts to collect the debt. After investigating the matter further, the company has arranged with O2 Ireland to completely write off the debt.

A spokesman for the Irish Debt Bureau said: "Having fully reviewed the case, we are satisfied that all procedures carried out to recover this debt were appropriate. Having discussed this case with our client, however, and taking into account both [the reader's] concerns about possible mis-selling of the original contract by a third party, and the fact that the phone was subsequently stolen, I am happy to confirm that our client has agreed to make a goodwill gesture in this case and write off the debt in its entirety. The debt will be removed from our records and no further action will be taken with respect to this debt."

Q. I opened an ISA with Nationwide in 1999. By April last year this had accumulated to £6,961.25 in an instant access account and £26,433.52 in a fixed one-year bond, maturing that month. On 21 May 2009, Nationwide advised me that since I had given no other instruction, the funds in my one-year bond had been transferred to an instant access ISA: I assumed this was the existing instant access account. The return was only 0.5 per cent, so I decided to transfer the balance to M&S Financial Services.

On 12 June, M&S confirmed it had written to Nationwide to implement the transfer. On 19 June, Nationwide wrote to say it had transferred £6,965.02 to M&S. I phoned Nationwide to ask why the rest of the ISA funds had not been transferred and was told these were held in an internet instant access account, and I must complete another transfer form to withdraw these. I promptly completed and returned another form.

On 29 September, M&S wrote to confirm it had contacted the Portman Building Society to transfer my funds. M&S wrote again on 13 November to say it had not heard from Nationwide, which had "not replied to any of our chase letters". It turned out the bulk of the funds had gone into an account with a different account number, so I had to complete another transfer form.

On 2 December, I again heard from M&S saying it had forwarded details to Nationwide. M&S eventually received £26,625.48 from Nationwide six months after my first transfer request. The delay cost me £180 in lost interest. SG, Aylesford, Kent.

A. Nationwide argues that much of the delay was caused by your quoting the wrong account number on the paperwork supplied to you by M&S Financial Services. Nationwide says it provided the correct account information when it opened your new instant access ISA. It also says that this documentation made clear that the proceeds of the bond were being transferred to a new ISA, not into the existing ISA.

The forms it received from M&S Financial, requesting transfers, quoted the account number for the closed ISA. But Nationwide says: "We accept that this could have been resolved sooner." It is paying you the sum of £258.86 – its more generous calculation of your lost interest. It will pay another £50 "in compensation for the inconvenience caused in resolving this issue".

Q. A year ago I successfully applied for a Shell Citi credit card, attracted by a generous discount offer related to buying Shell petrol. I have paid the bill in full every month and not incurred any interest. I wasn't asked what credit limit I would like but the credit limit was set at £16,000. Now I have received a letter saying my limit has been reduced to £4,650 – quite a bit below the amount I have spent in several months. RH, Shrewsbury.

A. Citi says it conducted a review of all its card accounts in January and yours was one that had its limit reduced as a result. Citi says: "Decreasing credit limits on credit cards accounts is a routine activity and common across the credit-card industry. The decision to reduce a credit limit is based on a number of factors, including customer behaviour, how the account has been run, as well as information we receive from other lenders and the credit reference agencies.

"In [the reader's] case, the decision was taken based on our internal data and took into consideration how [the reader] had used his account in the past months. [The reader's] recent average balance on his account was around £3,300, and his credit limit was £16,000. Before decreasing [the reader's] limit we ensured there would be adequate headroom between his existing balance and his new credit limit." The Citi Shell card and rewards scheme is no longer available.

Questions of Cash cannot give individual advice. But if you have a financial dilemma, we'll do our best to help. Please email us at: questionsofcash@ independent.co.uk

Independent Partners; request a free guide on NISAs from Hargreaves Lansdown

News
One father who couldn't get One Direction tickets for his daughters phoned in a fake bomb threat and served eight months in a federal prison
people... (and one very unlucky giraffe)
Arts and Entertainment
Joel Edgerton, John Turturro and Christian Bale in Exodus: Gods and Kings
film
Arts and Entertainment
Brendan O'Carroll as Agnes Brown in the 2014 Mrs Brown's Boys Christmas special
tvCould Mrs Brown's Boys have taken lead for second year?
News
news
PROMOTED VIDEO
News
Members and supporters of the lesbian, gay, bisexual, transgender (LGBT) community walk with a rainbow flag during a rally in July
news
News
i100
Sport
Alexis Sanchez missed a penalty before scoring the opening goal with a header at the back post
footballLive! Sanchez makes up for penalty miss to put Arsenal ahead
Arts and Entertainment
Amy Adams and Christoph Waltz in Tim Burton's Big Eyes
film reviewThis is Tim Burton’s most intimate and subtle film for a decade
News
i100
Arts and Entertainment
Jack O'Connell stars as Louis Zamperini in Angelina Jolie's Unbroken
film review... even if Jack O'Connell is excellent
Arts and Entertainment
Madonna is not in Twitter's good books after describing her album leak as 'artistic rape and terrorism'
music14 more 'Rebel Heart' tracks leaked including Pharrell Williams collaboration
Sport
Rooney celebrates with striker-partner Radamel Falcao after the pair combine to put United ahead
footballManchester United vs Newcastle match report
Finacial products from our partners
Property search
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

ES Rentals

    iJobs Job Widget
    iJobs Money & Business

    Selby Jennings: SVP Model Validation

    Not specified: Selby Jennings: SVP Model Validation This top tiered investment...

    Selby Jennings: Oil Operations

    Highly Competitive: Selby Jennings: Our client, a leading European Oil trading...

    The Jenrick Group: Night Shift Operations Manager

    £43500 per annum + pension + holidays: The Jenrick Group: Night Shift Operatio...

    SThree: Trainee Recruitment Consultant - LONDON

    £20000 - £25000 per annum + OTE £40,000 + Car + Pension: SThree: SThree are a ...

    Day In a Page

    A Christmas without hope: Fears grow in Gaza that the conflict with Israel will soon reignite

    Christmas without hope

    Gaza fears grow that conflict with Israel will soon reignite
    After 150 years, you can finally visit the grisliest museum in the country

    The 'Black Museum'

    After 150 years, you can finally visit Britain's grisliest museum
    No ho-ho-hos with Nick Frost's badass Santa

    No ho-ho-hos with Nick Frost's badass Santa

    Doctor Who Christmas Special TV review
    Chilly Christmas: Swimmers take festive dip for charity

    Chilly Christmas

    Swimmers dive into freezing British waters for charity
    Veterans' hostel 'overwhelmed by kindness' for festive dinner

    Homeless Veterans appeal

    In 2010, Sgt Gary Jamieson stepped on an IED in Afghanistan and lost his legs and an arm. He reveals what, and who, helped him to make a remarkable recovery
    Isis in Iraq: Yazidi girls killing themselves to escape rape and imprisonment by militants

    'Jilan killed herself in the bathroom. She cut her wrists and hanged herself'

    Yazidi girls killing themselves to escape rape and imprisonment
    Ed Balls interview: 'If I think about the deficit when I'm playing the piano, it all goes wrong'

    Ed Balls interview

    'If I think about the deficit when I'm playing the piano, it all goes wrong'
    He's behind you, dude!

    US stars in UK panto

    From David Hasselhoff to Jerry Hall
    Grace Dent's Christmas Quiz: What are you – a festive curmudgeon or top of the tree?

    Grace Dent's Christmas Quiz

    What are you – a festive curmudgeon or top of the tree?
    Nasa planning to build cloud cities in airships above Venus

    Nasa planning to build cloud cities in airships above Venus

    Planet’s surface is inhospitable to humans but 30 miles above it is almost perfect
    Surrounded by high-rise flats is a little house filled with Lebanon’s history - clocks, rifles, frogmen’s uniforms and colonial helmets

    Clocks, rifles, swords, frogmen’s uniforms

    Surrounded by high-rise flats is a little house filled with Lebanon’s history
    Return to Gaza: Four months on, the wounds left by Israel's bombardment have not yet healed

    Four months after the bombardment, Gaza’s wounds are yet to heal

    Kim Sengupta is reunited with a man whose plight mirrors the suffering of the Palestinian people
    Gastric surgery: Is it really the answer to the UK's obesity epidemic?

    Is gastric surgery really the answer to the UK's obesity epidemic?

    Critics argue that it’s crazy to operate on healthy people just to stop them eating
    Homeless Veterans appeal: Christmas charity auction Part 2 - now LIVE

    Homeless Veterans appeal: Christmas charity auction

    Bid on original art, or trips of a lifetime to Africa or the 'Corrie' set, and help Homeless Veterans
    Pantomime rings the changes to welcome autistic theatre-goers

    Autism-friendly theatre

    Pantomime leads the pack in quest to welcome all