Home Money Investing platforms Hargreaves Lansdown and II offer up to £5k to transfer

Investing platforms Hargreaves Lansdown and II offer up to £5k to transfer

by Elijah
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Cashback battle: Hargreaves Lansdown and Interactive Investor offer cashback bonuses to investors who open or transfer to them

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Investors can get up to £5,000 from the Hargreaves Lansdown and Interactive Investor platforms, both of which offer great cashback deals.

Customers could reach £5,000 with Interactive agreement for investors*, although they would have to transfer a huge £2m pension into a II Sipp to get this sum.

Interactive Investor has extended its offer until February 29, so customers have more time to get the bonus.

Those transferring more normally sized pension funds and investments could get hundreds of pounds worth of refunds.

Meanwhile, Hargreaves Lansdown offers up to £3,500 to its clients* who transfer a pension of £1 million into a Sipp, or up to £1,000 when transferring investment accounts worth £80,000 or more.

We look at how much you could get and how the cashback offers compare.

Cashback battle: Hargreaves Lansdown and Interactive Investor offer cashback bonuses to investors who open or transfer to them

Distribute your Isa between banks before new rules on Active Savings

Savers will now be able to split their Isa allocation between different types of Cash Isas and different providers.

From today, Hargreaves Lansdown’s Active Savings cash platform will allow savers to spread their Isa allowance across multiple banks, and with easy access, limited access and fixed rates.

> Read more: Hargreaves Lansdown savings platform’s new Isa benefit

Interactive investor

Interactive Investor has launched its cash back deal for investors ranking their investments for the new year.

To get the refund, investors must open or transfer funds to an Interactive Investor general investment account, Isa or Sipp before February 29.

Interactive Investor’s Sipp deal starts with a £100 cashback for investors who deposit or transfer the minimum qualifying amount of £10,000. The cashback increases the more you deposit or transfer, rising to £5,000 for amounts over £2 million.

For the general investment account deal and Isa, the cashback increases from £100 on deposits or transfer value of £2,000, which is the minimum deposit, to £1,500 for values ​​over £500,000.

Check the table to find out how much cash back you could earn depending on the amount you deposit into the account.

> Learn more about Interactive Investor cashback offers*

Interactive Investor Sipp Refund
Deposit/transfer value Refund of money
£10,000 – £24,999 £100
£25,000 – £99,999 £200
£100,000 – £199,999 £500
£200,000 – £499,999 £750
£500,000 – £999,999 £1,500
£1,000,000 – £1,499,000 £3,000
£1,500,000 – £1,999,999 £4,000
£2,000,000+ £5,000
Interactive Investor Isa and Investment Account Refund
Deposit/transfer value Refund of money
£2000 – £9999 £100
£10,000 – £19,999 £150
£20,000 – £49,999 £250
£50,000 – £99,999 £500
£100,000 – £199,999 £750
£200,000 – £499,999 £1,000
£500,000+ £1,500

Hargreaves Lansdown

Hargreaves Lansdown launched its biggest cashback deal before Christmas.

To qualify for the offer, customers must register for the wire cash back offer and apply by February 29, 2024.

If you are transferring a pension or a Sipp, you could get a cash back of up to £3,500 when you transfer pensions worth a total of £10,000 or more into a Hargreaves Lansdown Sipp or a Drawdown Pension.

Transfers between £10,000 and £29,999 will get a refund of £100, while transfers of £1 million or more will get a maximum refund of £3,500.

Investors can get up to £1,000 in cashback when transferring investment accounts* with a value of £4,000 or more in an HL Stocks and Shares Isa or HL Shares and Funds account.

Cash transfers from Isa to a stocks and shares Isa also qualify for the deal, but the presentation of share certificates does not qualify for redemption.

You can get £50 cashback for a transfer worth between £4,000 and £9,999 and the maximum of £1,000 for a transfer worth £80,000 or more.

According to the platform, Hargreaves Lansdown does not charge any fees for transferring investments and the annual charge for holding investments does not exceed 0.45 percent.

Savers signing up for cashback offer and opening a new Hargreaves Lansdown Active Savings* account before January 31, 2024 you will also be able to get the cashback offer.

You must add at least £5,000 of new money via debit card or Pay By Bank into a savings product within 60 days of opening the account to get a cashback of up to £100 depending on the amount added.

> Find out more about the Hargreaves Landown cashback offer*

HL and Sipp pension reimbursement
Transfer value Refund of money
£10,000 – £29,999 £100
£30,000 – £59,999 £250
£60,000 – £89,999 £500
£90,000 – £109,999 £1,000
£110,000 – £124,999 £1,250
£125,000 – £999,000 £1,500
£1 million and more £3,500
HL Isa and investment account refund
Transfer value Refund of money
£4,000 – £9,999 £50
£10,000 – £19,999 £100
£20,000 – £39,999 £150
£40,000 – £59,999 £300
£60,000 – £79,999 £500
£80,000+ £1,000

Is it worth exchanging for a refund?

The cashback sums offered by Interactive Investor and Hargreaves Lansdown are considerable, but you need to make sure the platform is right for you rather than simply taking money to move. Read our guide to the best investment platforms.

If you have a large pension fund to transfer, the Interactive Investor refund looks attractive, but as with any big decision like this, it’s vital you do your due diligence.

Be aware of departure fees. Your current pension provider may charge you exit fees if you want to leave or transfer your current pension.

If you later decide to move, there is no charge to transfer your account out of HL and Interactive Investor removed Sipp exit charges in 2018.

All pension investments gain and lose value over time, even those invested in safe assets and investment classes.

You should remember that transferring pensions can take time and during this time you will not be able to trade and may be exposed to fluctuations in the value of your pension.

This usually takes between 2 and 4 weeks, depending on your supplier, according to Hargreaves Lansdown.

Interactive Investor is offering an additional investor bonus of £200 cash back to those who refer a friend or family member.

If you’re concerned about fees, Interactive Investor offers flat-fee pricing rather than fees taken as a percentage of clients’ investments. This may work best for investors with large pots.

On the other hand, Hargreaves Lansdown charges 0.45 per cent per year on investments, but importantly this is capped at £45 per year for investment trusts, ETFs and shares.

If you’re switching to give your investments a cashback boost, Hargreaves Lansdown’s cashback deal offers less cashback for the amount you deposit or transfer into an Isa or general investment account.

It also has a limit of £80,000, so even if you have a larger amount to transfer you won’t receive more than £1,000 in cashback.

Hargreaves Lansdown also has a cashback offer for its cash platform, which Interactive Investor does not have.

Savers signing up for cashback offer and opening a new Hargreaves Lansdown Active Savings* account before January 31, 2024 will be able to get the refund offer.

You must add at least £5,000 of new money via debit card or Pay By Bank into a savings product within 60 days of opening the account to get a cashback of up to £100 depending on the amount added.

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