Quick ISA question

Roulette

I have an ISA with NS&I (there is two full years allowance in it, including this year). However the interest rate isn't the best - if I move it to another provider (say IceSave), will I get the interest accrued to date from NS&I for this financial year or will I lose it? Interest is paid annually for NS&I, as far as I can see, which is my concern.

Reason I ask is the difference in interest between providers is 5.3% to 6.1%, but seeing as I have already spent 3+ months with NS&I, if I lose the interest I dont think there is much benefit moving it to IceSave for the rest of the year, as the increase in interest doesn't cover the shortfall in interest from the old provider.

This probably makes no sense, but hoepfully one of you kind souls can inform me!

debbie42

Unless the t&c of an account state otherwise, you'd normally get the interest accrued to date paid up when you close an account (or transfer it, for an ISA).

The fact that your annual payment date isn't until, say, April next year is irrelevant when transferring an ISA.

You'd need to check the t&c of your particular account to be sure.

Roulette

Thanks, I should be ok.

Also, it says "Date of transfer" on the Transfer form, what do I put here? If I leave it blank will they just do it as soon as they get it?

Cheers.

RayWolfe

If the question is on the transfer form, it enables you to ask for a transfer date after a fixed rate deal expires.
In other words, if your existing ISA has an expiry date you don't want the funds to be transferred until the funds become available.