Dividends
You can manage your dividend income online with interactive investor.
The differences between The Share Centre and your new ii service
| The Share Centre | interactive investor |
For each account you could choose to leave dividends as cash, have them paid out to you or have them automatically reinvested. | Dividends are credited to your account in their market currency once they have been received. You will have the choice for each investment to leave this as cash or automatically reinvest it (see more below). Alternatively, you can set your account to pay all dividends out to your bank account as they are received. |
You could set pay out and reinvestment to be immediate or quarterly. When reinvesting immediately, this had to be in the investment that paid the dividend. When choosing quarterly reinvestment, this could be done into your highest value investment or any other investment in your account that you nominate. Automatic dividend reinvestment was available for all investments that pay income on The Share Centre platform. | Automatic dividend reinvestment is available for most popular shares (including the FTSE 350) and a range of investment trusts and ETFs. We do not offer automatic reinvestment of any income from unit trusts and OEICs. |
Dealing commission on dividend reinvestment is 0.5%. To be reinvested a dividend must have a value of £10 or more. You could ask The Share Centre to sweep up smaller cash amounts each quarter and reinvest them in line with your quarterly reinvestment instruction. | To be reinvested, a dividend must be paid into your account in Sterling and it must have a value of £10 or more. Dividend investment costs just £0.99 a trade and this can be taken from the free credit you receive each month from your Service Plan. |
Existing instructions
If you had reinvestment instructions in place, we have moved these across for you where they are for eligible holdings. Otherwise, they have stopped.
If you had instructions in place for investment income to be paid out to you in cash once the minimum value had been reached, we have only moved these instructions where you have them in place for all the eligible holdings in your account.
That is because, while you can give reinvestment instructions at individual investment level on the interactive investor platform, dividend income can only be set to pay out directly to your bank account at account level.
As now, you will be able to change your instructions easily online.
How to find
Once you have your account ready, log in and select 'dividend reinvestment' from the 'portfolio' menu.