I hope this is considered related enough… I set up a Stocks and Shares ISA with Trading212.com to invest in some ETFs because they offer “no-fee” and fractional share trades (just profiting from the spreads and interest on your money they hold I guess).
The thing is I found this in their Share Dealing Service Terms of Business (link)
Withdrawal of funds.
8.1. You cannot withdraw the proceeds of the sale of shares from your account unless and until the sale has settled on settlement date (usually at T+2).
8.2. Notwithstanding, Clause 8.1 above, we may at our absolute discretion in limited circumstances, after receipt of a request from you, allow withdrawal of little amounts.
“we may at our absolute discretion in limited circumstances, after receipt of a request from you, allow withdrawal of little amounts.”???
I feel really insecure now about investing with them. I don’t want to build up a considerable amount then have them say sorry you can only withdraw it in “little amounts”. The problem is while I get started, if I go for another fee-based broker at around £10/m I can’t justify that for the amount I’ll be putting in to begin with, hence why I’m looking at these new no-fee business models.
Personally, it does look a bit off to me however it is ultimately your decision. Every broker will have different characteristics but your money - is your money. I have used many different brokers and I havent ran in to an instance yet where a broker only let’s you take out small amounts.
Someone else may have a different experience of course, but like I said, your money is yours and you should be able to trust your broker, afterall it’s your hard earned money that you’re putting in to it. I have been using fxglory now for a while. They’ve always been good to me and have very quick customer service. May want to check them out.
If you don’t like it, stay away. if the terms are too complicated, it will be used against you in the future. I prefer plain and simple brokers with very clear terms and conditions.
Yeah the broker seems mostly decent, however my gut instinct is telling me I don’t like this clause.
So actually something good came out of it. It got me thinking, if I want to make money with ETFs what about spread betting? It’s tax free here in the UK, and for future it’s not limited to 20k like ISA either.
I’ve decided to put the same amount into another UK broker on the same ETFs to see how it goes. Actually I’ll be interested to see how the results compare over the next couple of months
