Legal action against broking service? Lol.

[theArtfuldodger]

Hey guys! Cheers for all the tips on my "Career Advice" thread. Super informative and helpful. Fingers crossed for the desired outcome with the Deloitte interview. Ok, new story:

So I applied for an account with Direct Broking AGES ago (see: 1 month) and still haven't had an account registered. Story goes like this:

A week following the posting of all the required documentation I contacted them and asked them if they had recieved anything. They said they had, but couldn't proceed with registration because the signatures on the ID didn't match (I had changed my sig between IDs, one being almost 8 years old. I didn't check this unfortunately, to my detriment). I apologized and sent through more ID, which they said was now ok and they would proceed with the registration and send me an e-mail on completion of this process. I said thanks, and also told them it would be good if they contacted me next time instead of me having to chase them up (in a good natured way however, as it was essentially my fault).

ANYWAY... 3 more weeks later and still nothing. My question is thus: if I had had a serious intention of investing over this 3 weeks period and was confident that I had identified some stocks which would appreciate in value AND over that 3 week period they did but I couldn't take advantage of the gains because of DIRECT BROKING screwing around, (first week was ok - it was my fault - but 4????) would I have grounds for action against them for capital gains lost? I can think of some reasons for and against...

Just curious (I had no intention of investing, I just want an account; never fear Direct Broking! =D)

Thanks guys =)

[shasta]

Hey guys! Cheers for all the tips on my "Career Advice" thread. Super informative and helpful. Fingers crossed for the desired outcome with the Deloitte interview. Ok, new story:

So I applied for an account with Direct Broking AGES ago (see: 1 month) and still haven't had an account registered. Story goes like this:

A week following the posting of all the required documentation I contacted them and asked them if they had recieved anything. They said they had, but couldn't proceed with registration because the signatures on the ID didn't match (I had changed my sig between IDs, one being almost 8 years old. I didn't check this unfortunately, to my detriment). I apologized and sent through more ID, which they said was now ok and they would proceed with the registration and send me an e-mail on completion of this process. I said thanks, and also told them it would be good if they contacted me next time instead of me having to chase them up (in a good natured way however, as it was essentially my fault).

ANYWAY... 3 more weeks later and still nothing. My question is thus: if I had had a serious intention of investing over this 3 weeks period and was confident that I had identified some stocks which would appreciate in value AND over that 3 week period they did but I couldn't take advantage of the gains because of DIRECT BROKING screwing around, (first week was ok - it was my fault - but 4????) would I have grounds for action against them for capital gains lost? And can think of some reasons for and against...

Just curious (I had no intention of investing, I just want an account; never fear Direct Broking! =D)

Thanks guys =)

Ring around & find another broker that will help you ;)

Don't put up with sub par service!

[Steve]

Don't invest anymore time with them. Just move on to another broker...

Disc: been using Direct for ever with no hassles. :)

[777]

Ring them and speak to Alice. Service in most NZ business's is substandard and will only improve when we refuse to accept it. I use DB and am happy enough but do remember them freezing all three accounts I operate once without any warning because they needed more information. I was not alone in this. The way they did it without contacting me was what really bugged me.

[Lego_Man]

Hey guys! Cheers for all the tips on my "Career Advice" thread. Super informative and helpful. Fingers crossed for the desired outcome with the Deloitte interview. Ok, new story:

So I applied for an account with Direct Broking AGES ago (see: 1 month) and still haven't had an account registered. Story goes like this:

A week following the posting of all the required documentation I contacted them and asked them if they had recieved anything. They said they had, but couldn't proceed with registration because the signatures on the ID didn't match (I had changed my sig between IDs, one being almost 8 years old. I didn't check this unfortunately, to my detriment). I apologized and sent through more ID, which they said was now ok and they would proceed with the registration and send me an e-mail on completion of this process. I said thanks, and also told them it would be good if they contacted me next time instead of me having to chase them up (in a good natured way however, as it was essentially my fault).

ANYWAY... 3 more weeks later and still nothing. My question is thus: if I had had a serious intention of investing over this 3 weeks period and was confident that I had identified some stocks which would appreciate in value AND over that 3 week period they did but I couldn't take advantage of the gains because of DIRECT BROKING screwing around, (first week was ok - it was my fault - but 4????) would I have grounds for action against them for capital gains lost? I can think of some reasons for and against...

Just curious (I had no intention of investing, I just want an account; never fear Direct Broking! =D)

Thanks guys =)

From a non lawyer's point of view:

- You cant prove "possible gains"

- As your application hadnt been completed on their side, you are not actually a client of Direct Broking yet. It is at their discretion whether they take you on board as a client, and they have no responsibility to ensure that this process is as timely as you would like (beyond commercial pragmatism).

- Did they have your money sitting in their account? Even if so, refer to (1) and (4).

- As far as i can see, their liability may only extend to misexecuted orders leading to an actual loss - rather than forgone profits.

[theArtfuldodger]

From a non lawyer's point of view:

1 - You cant prove "possible gains"

2 - As your application hadnt been completed on their side, you are not actually a client of Direct Broking yet. It is at their discretion whether they take you on board as a client, and they have no responsibility to ensure that this process is as timely as you would like (beyond commercial pragmatism).

3 - Did they have your money sitting in their account? Even if so, refer to (1) and (4).

4 - As far as i can see, their liability may only extend to misexecuted orders leading to an actual loss - rather than forgone profits.

Yeah, I thought there would be problems - 1 + 2 specifically. Was just curious! Think I might switch to ASB...

[Lego_Man]

While i have experienced slowdowns on the ASB site...when i've had to deal with ASB humans they have been very good.

[AliceSaville]

So I applied for an account with Direct Broking AGES ago (see: 1 month) and still haven't had an account registered.


We're processing a fair whack of account applications at this point in the year so this may explain why there was a delay in contacting you re: the ID, but of course does not excuse the delay.

Perhaps the confirmation email you received from us went to your junk mail folder?

You would be risking your anonymity (because I'd need your surname) but I'd be happy to chase this up for you.

Cheers,
Alice

[theArtfuldodger]

Just for the record: Alice (above) has been in contact and we are working this one through. Thanks DB!

=D

[impacman]

Nice to hear. I have been using DB for this year and have had several occassions to liaise with their personnel (possibly including Alice) and have found them helpful. Application process is a bit of a pain but that seems to have moe to do with regulatory requirements than DB itself - suspect you would have the same potential issues with any provider.

Cheers

[theArtfuldodger]

Woo! Alice sorted it. + a free trade credit for the inconvenience.

Turns out it was a minor administration error.

Thanks Alice =)

Artfuldodger.