H2B to LISA transfer - Interest
thecorporaterat
Posts: 3 Newbie
Hello,
I am looking this week to transfer my H2B Cash ISA into a LISA CASH ISA. I have c.£4500 in my H2B ISA which gets 2.75% interest annually. I am eligible to transfer c.£2500 of it into my LISA without it counting towards my £4000 limit. As such I should be paid the 25% gov bonus on £6500.
My question is, since by H2B ISA pays interest annually, when I transfer the c.£2500 will the 2.75% interest I have gained this tax year be calculated and transferred across too?
Please can someone suggest whether I can still keep my H2B ISA open after the LISA transfer (on the basis I can still get 2.75% interest but won't be able to claim any gov bonus on it)?
I do apologise if this is a silly question but I just wanted some clarity.
Thanks
I am looking this week to transfer my H2B Cash ISA into a LISA CASH ISA. I have c.£4500 in my H2B ISA which gets 2.75% interest annually. I am eligible to transfer c.£2500 of it into my LISA without it counting towards my £4000 limit. As such I should be paid the 25% gov bonus on £6500.
My question is, since by H2B ISA pays interest annually, when I transfer the c.£2500 will the 2.75% interest I have gained this tax year be calculated and transferred across too?
Please can someone suggest whether I can still keep my H2B ISA open after the LISA transfer (on the basis I can still get 2.75% interest but won't be able to claim any gov bonus on it)?
I do apologise if this is a silly question but I just wanted some clarity.
Thanks
0
Comments
-
You will receive all the interest on the HTB ISA pro-rata for whatever portion of the year that you have held it. The interest will be paid into your HTB account.
You can continue to hold and pay into both a HTB ISA and a LISA.0
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