Not upheld: Other regulated complaint complaint against Investengine (UK) Limited

Decision detail

Summary

Mrs C applied to transfer £300,000 to an InvestEngine ISA to receive a £2,500 promotional bonus. After initial delays due to a name mismatch, Mrs C gradually sold her holdings over several months rather than immediately transferring funds. InvestEngine sent multiple communications seeking updates on transfer progress. On 27 August 2024, InvestEngine notified Mrs C that the bonus offer would expire on 30 September 2024, after which any bonus would be calculated based on funds received by that date. Mrs C complained that InvestEngine unfairly pressured her to sell investments in a 'fire sale' and unfairly imposed a deadline. The ombudsman found that InvestEngine's actions were reasonable and within its contractual rights, as the bonus terms reserved the right to end the promotion, Mrs C's delays were partly within her control, and the notice period aligned with her stated timeframe.

The Ombudsman's reasoning

The ombudsman found that InvestEngine's bonus terms and conditions explicitly reserved the right to end the promotion at any time, making the deadline imposition contractually permissible. The ombudsman determined that Mrs C's delays were not entirely outside her control, as she chose to sell holdings gradually rather than immediately or via transfer in specie, and did not give clear instructions to the other provider to proceed. The ombudsman concluded that InvestEngine's communications were reasonable attempts to progress a transfer that Mrs C had initiated, and that one month's notice aligned with Mrs C's own stated timeframe. The ombudsman rejected the characterization of InvestEngine's actions as forcing a 'fire sale', finding instead that Mrs C had discretion to pursue or abandon the transfer at any point.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website