Around 15 per cent of Isa customers were charged two annual management fees due to a direct debit error made by Witan administrator Equiniti.
Witan’s annual fee for Isas is £30 plus VAT, debited in two instalments, irrespective of how many Isas or funds are held by the investor.
Direct clients were double-debited £17.63 while clients referred via IFAs, who make up 10 per cent of the business, were double-debited by 0.625 per cent plus VAT of the value of the fund at September 30.
Witan Investment Services managing director James Frost says: “Equiniti, which manages the Witan Wealthbuilder platform, experienced an issue with the processing of the collection of Isa annual management fees from investors who pay their fees by direct debit. Rather than one debit, the collection was made twice. This error was noticed immediately and a credit was issued to investors’ bank accounts as soon as possible.”
An Equiniti spokeswoman says: “A thorough review has taken place and systems and processes have been enhanced to minimise the possibility of any sort of recurrence.”