How many ISA's???

00mrmark00

Hi All,

Just applied for a Barclays Tax Haven ISA for the 08 - 09 tax year. I also have a few £k stashed away in a Nationwide ISA, paying around 5.05%AER. I did consider moving all of this into an A&L Direct Issue 4 account, but don't want to loose my dividend rights should NW ever float onto the stock market. Hence, I have left that be. However, I would like to move a chunk of it to another account that allows transfers-in and achieve a better rate, though I don't plan to contribute to it. Am I right in thinking that this is allowed in accordance with the ISA law handbook???

Many thanks.

freddysmith

One option could be to move the NW ISA into the 1,2 or 3 yr fixed rate ISA bond at 6.15%

Paul_Herring

00mrmark00 wrote: »

However, I would like to move a chunk of it to another account that allows transfers-in and achieve a better rate, though I don't plan to contribute to it. Am I right in thinking that this is allowed in accordance with the ISA law handbook???

You are correct. (You wouldn't be able to contribute it, even if you wanted to however, since you have the Barclay's ISA this year.)

giger

Just a question - how long have you had your nationwide account? I opened an account with them around 8 years ago and even then I had to sign a form saying I was not entitled to anything should Natonwide ever float (to prevent carpet bagging).

00mrmark00

Hi,

Had the account about 10 years. So hopefully, I would be well positioned to benefit from any dividends. Never had to sign anything, but have since had to with other societies.

Should here something from Barclays this week regarding my new ISA. I guess the fact that I had to open the account with a £1 means that I have already made a contribution for this tax year.

So, what are my options for the dormant Nationwide account, would I be able to move it to another provider this tax year to benefit from a better rate?

Cheers all…

00mrmark00

Oh... when I say move it, I mean only part off...

Cheers.

giger

You can transfer your old ISA to a new provider but you will not be able to top it up. As it is an existing ISA it will not be included in this years allowance. You will need to investigate if your new Barclays ISA will allow transfers of old ISAs. If so, it will just be added to the pot and you will continue to recieve interest as if it has been left with the old provider (albeit at a high rate!)

tiptoe_mouse

Unfortunately Barclays do not accept transfers into their tax haven ISA. I think Icesave are offering the best rate (6.1%) on an easy access ISA that accepts transfers in. However, I seem to remember reading somewhere on MSE that Icesave have problems with partial transfers in.

However, are you sure about not having to sign away your rights with NW? I took an ISA with them when ISAs first started, and I had to sign away my rights. ISAs started in 1999 (I think). This is what the Nationwide website says:

This is the arrangement under which all members of the Society joining after 2 November 1997 are required to assign any potential conversion benefits to the Foundation.

The exception is if you were already a member (by having some other account) prior to this date:

If you were a member of the Society before 3 November 1997 and have been a member continuously since that date, but now open another account, the charitable assignment will not apply to you. You will not become a member of The Foundation.

HTH

tiptoe

00mrmark00

Hi Tiptoe,

Good detective work... You have got me wondering now, I will need to go away and look to see when I first opened this account. I'll let you know when I find out... Fingers crossed...