CREST or no CREST

[breakingbad1]

Getting seriously stressed out with this CREST stuff now. I've seen companies say they settle dividends with the CREST system? So how exactly does it work if brokers like mine (despite being regulated in UK) won't use it for no apparent reason?

Had to send SDRT to HMRC directly. All this has done is cause hassle. I'm going to use another broker but want to keep my existing shares with current broker because that will probably mess up my records somehow.

 

[breakingbad1]

I've just sold them (couldn't transfer) and will buy them back with my "new" broker. Hopefully within the CREST system everything will be fine.

 

[BigDeal]

Yes, being with a broker who uses Crest will certainly make your life a lot easier. I get the impression your broker doesn't really want to get heavilly involved in share trading; I think they are more interested in leveraged offerings, but might use the 0% share trade commisions a to draw potential investors in?

 

[breakingbad1]

Yes, being with a broker who uses Crest will certainly make your life a lot easier. I get the impression your broker doesn't really want to get heavilly involved in share trading; I think they are more interested in leveraged offerings, but might use the 0% share trade commisions a to draw potential investors in?

They only did CFD until a few months ago and they put up the typical warnings about those. The reviews and the FCA approvals seem fine so don't know why nobody seems to be complaining about them not using CREST. I am a bit autistic so do get irritated by stuff like this. Commission is free up to about £100,000. I might use them again just for sake of keeping multiple brokers but not for UK stocks (at least the ones you have to pay SDRT on) again.

 

[MattK]

Yes, being with a broker who uses Crest will certainly make your life a lot easier. I get the impression your broker doesn't really want to get heavilly involved in share trading; I think they are more interested in leveraged offerings, but might use the 0% share trade commisions a to draw potential investors in?

Im sorry but what is the CREST system, and what is its purpose?

 

[BigDeal]

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Its basically a central register of all UK shares which can be traded electronically, and who owns them at any point in time. It also deals with the duty associated with electronic share purchases, and makes sure any dividends are paid to the correct owner of the shares at time of payment.

breakingbad1 is using a broker which doesn't use CREST and so causes a bit of hassle for him because he has to report and pay the SDRT (tax) to HMRC himself

 

[MattK]

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Its basically a central register of all UK shares which can be traded electronically, and who owns them at any point in time. It also deals with the duty associated with electronic share purchases, and makes sure any dividends are paid to the correct owner of the shares at time of payment.

breakingbad1 is using a broker which doesn't use CREST and so causes a bit of hassle for him because he has to report and pay the SDRT (tax) to HMRC himself

Thank you for the explanation

 

[breakingbad1]

Well my "new" broker deducted SDRT for Britvic but not Coca Cola HBC. CC HBC are the company I bought shares (and sold) with via my previous broker. I don't expect anyone to look too deeply into minor things like this but some of you must have purchased with CC HBC before. Do you know if they are exempt for some reason? Obviously they are fully listed on the main London exchange so it's not that.

 

[BigDeal]

Non UK based companies are not subject to SDRT, I'm pretty sure