Inactivity fees

[Gil3000]

Hi,

After reading around the subject I finally decided to go ahead and open an account with IG for stockbroking.

I've noticed there are inactivity fees:

"We charge a £12 fee on the first of every month, if no dealing activity has occurred for two years or more."

I'm yet to start trading, is this from the first day of your account being opened or your first trade?

Also as I am looking for long term investments, if I hold on to shares for 2 years without selling or buying (unlikely but possible) do I then start to get charged?

Final q, I presume it's relatively easy to close the account once I'm done with it to avoid these fees down the line? Just in case I decide to trade for a year then figure it's not for me.

 

[malaguti]

Hi,

After reading around the subject I finally decided to go ahead and open an account with IG for stockbroking.

I've noticed there are inactivity fees:

"We charge a £12 fee on the first of every month, if no dealing activity has occurred for two years or more."

I'm yet to start trading, is this from the first day of your account being opened or your first trade?

Also as I am looking for long term investments, if I hold on to shares for 2 years without selling or buying (unlikely but possible) do I then start to get charged?

Final q, I presume it's relatively easy to close the account once I'm done with it to avoid these fees down the line? Just in case I decide to trade for a year then figure it's not for me.

Inactivity is just that, if you haven't started trading, they will happily take it away from you (after the first month probably).
If you hold on for 2 years you will see £288 slowly drained from your account.
Inactivity fees have become extremely common in almost all brokers now.
You could probably close your account, but i'm sure they will make it difficult for you, at least until they've had their first pint of blood.

There are still some who don't charge, and those that may charge quarterly. That may be a safer bet. Or of course you could stagger your investments to keep in line with requirements.

 

[malaguti]

Inactivity is just that, if you haven't started trading, they will happily take it away from you (after the first month probably)
If you hold on for 2 years you will see £288 slowly drained from your account.
Inactivity fees have become extremely common in almost all brokers now.
You could probably close your account, but i'm sure they will make it difficult for you, at least until they've had their first pint of blood.

There are still some who don't charge, and those that may charge quarterly. That may be a safer bet. Or of course you could stagger your investments to keep in line with requirements.

a quick look..
Barclays stock brokers 12.50 inactivity fee applied quarterly @ £12 per trade
The share centre..£1.50 per month charge @ 7.50 per trade
interactive investor £20 quarterly fee @£10 per trade (but £20 covers commission to the value of £20)

so each of those are better than IG
The share centre looking like the better one

 

[Gil3000]

This is all after two years of inactivity though right?

 

[malaguti]

This is all after two years of inactivity though right?

of course, assumes you bought and hold for 2 years without buying or selling as you mentioned. Chances are I'm sure you will do more, but just going from what you said

 

[Gil3000]

of course, assumes you bought and hold for 2 years without buying or selling as you mentioned. Chances are I'm sure you will do more, but just going from what you said

ok great, thanks