Customers of NatWest have been experiencing significant delays in the transfer of individual savings accounts (Isas) since the summer, with over £940,000 across various accounts impacted by the backlog. The Financial Ombudsman Service's guidelines state that cash Isa transfers should be completed within 15 days and stocks and shares Isas within 30 days, but many NatWest customers have been waiting much longer.
The delays began surfacing in July 2023 when David McKay encountered a protracted hold-up with his £170,000 transfer from a Pershing Stocks and Shares Isa. For months, McKay only received automated updates regarding the status of his transfer. In August 2023, Charlie Northey, a supply teacher from Brecon, Wales, experienced a one-month delay for his £131,000 Nationwide Isa funds to be deposited into his new NatWest account, which was initially met with a rejection letter from the bank.
By September 2023, additional customers reported extended delays on large sums transferred from various Isas, including those held with Vanguard and Pershing. Some of these funds were held without accruing any interest during the period of delay. NatWest has assured customers that interest will be backdated for all affected accounts, although it is unclear if extra staff have been employed to manage the backlog.
Customers who have suffered financial losses due to these delays may seek compensation following the Financial Ombudsman Service's guidelines. The situation remains a concern for NatWest clients awaiting the completion of their Isa transfers.
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