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Partial ISA transfers - is this correct?
Milarky
Posts: 6,356 Forumite
I was aware that you could transfer part of a cash ISA into another existing cash or new cash ISA with a different provider...
Now I thought this only every related to 'whole years' - so that your provider maintained an accounting 'separation' between each tax year's subs [and the interest thereon] and so you could only ever move the money as if each year was effectively in a different account.
But apparently it's fiendishly simple... if you want to transfer £100 to a new provider then [subject to particular account restrictions that have nothing to do with the rules for ISAs] you can just ask for that amount and they will 'transfer' it [usually by cheque!] by sending that amount to your new provider.
Of course you are still restricted by silly rules like:
You may not 'subscribe' to more than one ISA in any one tax year... and an 'initial' transfer would constitute an ISA subscription - whereas later transfers would just be 'transfers'.
So for instance, say you have £3000 in ISA 'A' from the year before last, and that you have £3000 in ISA 'B' from last year. You then add £3000 to ISA 'B' [your 'subscription'] at the start of this tax year, and then promptly ask the provider to 'transfer' £1500 of the money in 'B' into 'A' [because you really wanted to pay equal amounts into each account for some perverse reason - and ISA 'B' is instant access]
Now the '£1500' in this example must come from a non current tax year - which it can because £3000 was put in LAST year, and only £1500 of that is being asked for.
My question really is - is this correct information does anyone know, as it comes from the ISA adviser at Nationwide BS H.O. and they are deemed a 'specialist' unit?
Thanks in advance
Now I thought this only every related to 'whole years' - so that your provider maintained an accounting 'separation' between each tax year's subs [and the interest thereon] and so you could only ever move the money as if each year was effectively in a different account.
But apparently it's fiendishly simple... if you want to transfer £100 to a new provider then [subject to particular account restrictions that have nothing to do with the rules for ISAs] you can just ask for that amount and they will 'transfer' it [usually by cheque!] by sending that amount to your new provider.
Of course you are still restricted by silly rules like:
You may not 'subscribe' to more than one ISA in any one tax year... and an 'initial' transfer would constitute an ISA subscription - whereas later transfers would just be 'transfers'.
So for instance, say you have £3000 in ISA 'A' from the year before last, and that you have £3000 in ISA 'B' from last year. You then add £3000 to ISA 'B' [your 'subscription'] at the start of this tax year, and then promptly ask the provider to 'transfer' £1500 of the money in 'B' into 'A' [because you really wanted to pay equal amounts into each account for some perverse reason - and ISA 'B' is instant access]
Now the '£1500' in this example must come from a non current tax year - which it can because £3000 was put in LAST year, and only £1500 of that is being asked for.
My question really is - is this correct information does anyone know, as it comes from the ISA adviser at Nationwide BS H.O. and they are deemed a 'specialist' unit?
Thanks in advance
.....under construction.... COVID is a [discontinued] scam
0
Comments
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Hi
Yes you can part transfer past year cash isas. The current year ISA has to be transferred whole.
Now, not all ISA provider's accept transfers IN.0 -
I'm not sure the following is true -
I think any transfer is counted as just that, a transfer, and does not count towards your 'one-ISA-per-year' rule. Subscriptions usually mean new money going into a ISA. I found out recently that you can open an ISA in Year A, but providing you put no money into it until Year B it counts towards your Year B ISA.You may not 'subscribe' to more than one ISA in any one tax year... and an 'initial' transfer would constitute an ISA subscription - whereas later transfers would just be 'transfers'.0
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