A dividend is a sum of money that a company pays out to its shareholders.
If a company announces its going to pay a dividend, it will also announce a date, known as the ‘ex-date’, which is used as a deadline to mark whether a shareholder is entitled to a dividend payment.
If you’d like to register for this service you’ll need to contact us on 0345 606 11 88.
We will forward you notifications for all companies where you hold stock as and when they are received by Bank of Scotland Share Dealing.
You can choose to either attend the meeting yourself or send us your voting instructions which we will submit on your behalf.
We do not currently offer the option of ‘Scrip dividends’. We do however offer our own ‘Dividend Reinvestment Plan’ (DRIP) which provides you with the option of buying stock using your dividend payments.
Dividend Reinvestment is charged at 2% (maximum £12.50) plus 0.5% UK stamp duty.
For the majority of UK stocks we will credit the dividend to your share dealing account on the dividend payment date, this is provided we have received the payment and related documentation from the registrar.
Unit Trusts and foreign dividends tend to take longer to be credited as we have to wait for external custodians to release payment. In the case of foreign dividends this is usually 1 working day after the dividend pay date, and in the case of Unit Trusts this can be up to 1 week after pay date.
There are a number of reasons that your dividend may not have reinvested:
1. Did you select "Re-invest" as your 'Income Handling Option' at least 24 hours before the dividend payment date?
2. Was the dividend over £1.00 in value, and does the dividend total enough to purchase at least 1 share on the stock market?
3. Do you still have the stock in your share dealing account that the dividend was paid on? (No reinvestment can take place if you don’t have a holding).
4. Is the stock eligible for reinvestment? Examples of stocks not eligible for reinvestment include foreign stocks and stocks that require a set investment amount such as bonds and gilts.
5. If the stock is being held in an ISA, is this ISA active?
6. Do you have any outstanding charges on your share dealing account?
7. Have you passed all relevant ID and Money Laundering checks?
If none of these apply to you then please contact us on 0345 606 11 88.