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  • FIRST POST
    • where are we
    • By where are we 9th Jun 17, 9:02 AM
    • 143Posts
    • 44Thanks
    where are we
    Halifax HTB ISA
    • #1
    • 9th Jun 17, 9:02 AM
    Halifax HTB ISA 9th Jun 17 at 9:02 AM
    My daughter has approximately £4,600 in her Halifax HTB ISA which had an initial 4% interest rate. I see that the rate for new applications is 2%. I presume that is the present rate for all Halifax HTB ISA`s including my daughters. Could she then get a better rate by opening a Barclays HTB ISA paying 2.27% interest with £0 and transferring in her Halifax HTB ISA. Are there any problems with this, other than the Barclays interest rate being variable and could drop.
Page 1
    • isasmurf
    • By isasmurf 9th Jun 17, 9:40 AM
    • 1,719 Posts
    • 738 Thanks
    isasmurf
    • #2
    • 9th Jun 17, 9:40 AM
    • #2
    • 9th Jun 17, 9:40 AM
    Don't assume. Check what interest rate is http://www.halifax.co.uk/savings/interest-rates/
    Not all their HTB ISAs are 2%.
    • Chapuys
    • By Chapuys 9th Jun 17, 9:50 AM
    • 110 Posts
    • 87 Thanks
    Chapuys
    • #3
    • 9th Jun 17, 9:50 AM
    • #3
    • 9th Jun 17, 9:50 AM
    Don't move it!

    The current interest rate for the original Halifax HTB ISA 4%ers is 3.5% which is very good for HTB ISA's

    Here is mine taken just now:


    I save parallel to this in a 5% regular saver and as the poster below states save up to £1600 in a Lifetime ISA until I transfer the HTB ISA into it next February/March.
    Last edited by Chapuys; 09-06-2017 at 10:05 AM.
    Anything I say in no way constitutes financial advice and anything you do is your own decision.
    • Hutchch0920
    • By Hutchch0920 9th Jun 17, 9:50 AM
    • 269 Posts
    • 461 Thanks
    Hutchch0920
    • #4
    • 9th Jun 17, 9:50 AM
    • #4
    • 9th Jun 17, 9:50 AM
    If she can save more than £200 a month towards her house deposit and doesn't need the cash for at least a year the Lifetime ISA might be a better option as you can save an extra £1600 a year into the ISA and therefore receive the 25% bonus on more cash. If she transfers before March 2018 she can transfer all her cash from before 6th April 2017, plus her contributions from this year, and then add some more cash up to £4k in total for this year's contributions.
    Save £12k in 2017 / Dec 2017 Travel Cash = £6,114/ £14,000 43.6%

    House Deposit = £19,000 / £18,000
    • where are we
    • By where are we 9th Jun 17, 10:42 AM
    • 143 Posts
    • 44 Thanks
    where are we
    • #5
    • 9th Jun 17, 10:42 AM
    • #5
    • 9th Jun 17, 10:42 AM
    Thank you for the responses - it is good to know that she is getting 3.5% - so transferring to a Barclays HTB ISA would be silly. The plan is to eventually open a cash LISA this tax year with £1 initially (Skipton rate is abysmal). House buying is more than a year away so probably best to carry on with £200 a month into the Halifax HTB ISA while it remains at 3.5% and then transfer all Halifax HTB ISA cash from previous tax years into the new LISA making it up to £4000 with new cash before April 2018 and keep the Halifax HTB ISA open if it is still paying 3.5% and use it as an ordinary cash ISA in the future. So the Halifax HTB ISA would have cash building up from April 2017 onwards. Her other savings are in high interest accounts paying from 2% to 5%. Is this OK?
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