The Cash ISA Transfer Service automates the communication between the two financial organisations (new and old) involved in a Cash ISA transfer. It replaces the paper-based process only when both ISA providers are participants of the service; if one provider does not use the service, then the transfer will have to be completed via the manual process.
Launched in 2012, the service was developed in response to the changing regulatory landscape relating to the speed of the transfer of Cash ISAs and, in 2020 alone, facilitated nearly 354,000 transfers, and welcomed three new organisations.
This increased participation to in excess of 70 organisations and, by the end of last year, the service had been used for over 4.9 million transfers.
The service supports transfers of:
- An adult Cash ISA to another adult Cash ISA
- An adult Cash ISA to an adult Stocks and Shares ISA
- A junior Cash ISA to another junior Cash ISA
- A junior Cash ISA to a junior Stocks and Shares ISA
- An adult Cash ISA to an Innovative Finance (IF) ISA.
- For Cash ISA providers the service results in an increase in the quality and ease of the transfer of Cash ISAs due to the automation and standardisation of information flows between providers
- Consumers benefit from an improved experience as transferring is easier and may be faster as there is a standard process that providers follow
- There is a reduction in the amount of paper used in the process, this is environmentally beneficial and there are associated cost savings due to the absence of forms, envelopes and postage
- Automation of the information flows means there is certainty of delivery and receipt of the information passed from one provider to another
- There is an audit trail available for all Cash ISAs transferred in the event of a dispute
- Will assist in adherence to industry Service Level Agreements for transfers.
Cash ISA providers wishing to apply to use the service should contact our team on firstname.lastname@example.org to request an application form. Once we’ve received the application and assessed it against the eligibility criteria, successful applicants will be given access to documentation to prepare for using the service, including a take-on process which will incorporate a testing requirement.
Applicants will also need to obtain technology from a Bacs or Faster Payment participant payment service provider (PSP) to enable them to submit and receive messages in a secure and safe manner.