Transact has become the first intermediary platform to adopt an electronic cash ISA transfer service to speed up end-to-end transfer times for clients.
The new Transact Cash ISA transfer service, offered by Pay.UK (BACS) via Equisoft, facilitates information exchanges between Transact, ceding party banks and building societies for transfers in and out.
The platform said it removes the need for paper-based processes, which requires sending paper instructions to banks and building societies, locating the processing team and manually processing the instruction. As a result, clients will no longer need to wait for a cheque and will have monies settling in their accounts sooner.
Currently 72 banks and building societies are signed up to use the service.
Transact said the transfer speed for all types of cash and in specie, manual and electronic transfer times vary hugely. Cash / electronic transfers onto Transact complete on average in 9 days, while in specie/manual transfers complete in 42 days.
According to a survey by Transact, nine in 10 advisory professionals think the regulator should encourage the use of electronic messaging by legacy providers to improve transfer times.
Tom Dunbar, chief development officer at Transact, said: “We are obsessed with trying to improve transfers and this latest development links our commitment to improve transfer times with our digitalisation programme. We expect thousands of cash ISA transfers onto Transact to benefit from this new, faster service each year.
“We remain committed to personal service but where automation or integrations can speed up processes, we are keen to adopt new solutions.”
