Legal And General ISA 110.00 Cashback Via Cashback Sites feedback pse

bristolleedsfan

Milarky wrote: »

That's what I've done at least - gone through a different hashback site this time

You mean paying into exactly the same type of plan - with the same ISA provider after a few months gap - but whether HMRC regards that as the 'same' or a (disallowed) 'second' ISA?

Well in my case, L&G had sold all my units this year - but units all acquired last year (I made sure of that) - so I thought I had no account with them at all when reapplying and would be allocated new details. However they have allocated the same 'client number' and when I used the old login in details again - there was the 'new' ISA too.

So as far as HMRC is concerned it may be viewed as a 'continuation' account (because when you apply the first time you are expected to pay into that account indefinitely). The case of starting to pay, disposing of the holding then reapplying (to the same ISA manager, if not the same units) all in the same tax year may actually satisfy HMRC - since it would all be within the annual permitted allowance. I suspect it is OK because the manager had stayed the same and it was not stipulated that account be 'closed' simply by selling the holding to a nil one. (Only when you apply for a ISA with a new 'manager' do you cross the line???)

Ty 4 explanation. I applied yesterday for the index linked ISA with intention of closing it after the cashback is paid.

What steps do u suggest I take in order to make another application this tax year pse?

bristolleedsfan

Milarky wrote: »

bristolleedsfan wrote: »

No, it was an ironic reference to Quidco and the difficulties I've have getting things to track with them!

Usually the problem tracking sites are the same across all CB sites that use the same affiliate network.

Everything ive done via Quidco has tracked, atm im waiting for L+G to track on CBK from yesterday.

catmeow_2

Would a "corporate bond ISA" be deemed as one of the "safer" options?

Can I have a cash isa with another provider and this isa also?

I see there is a £500 minimum deposit before you can withdraw. Presumably I can deposit £50 a month say for 3 months then deposit £350 in one go and withdraw? Or would I need to wait the full 10 months?

Thanks for any advice.

turbobob

catmeow wrote: »

Would a "corporate bond ISA" be deemed as one of the "safer" options?

Can I have a cash isa with another provider and this isa also?

Compared to an equity fund like an index tracker a corporate bond fund would be lower risk.

And yes you can have separate cash and s&s ISAs with different providers.

dunstonh

...however, like all sectors, the different funds in the sector are not all at the same risk level. So, it is possible to get some very low risk corporate bond funds and some higher risk corporate bond funds. So, do not assume like for like. The bulk will be similar but at both extremes (top and bottom of the tables) you are likely to see differences that come down to risks paying off or not working. Risks that may not have been present in the second quartile funds for example.

catmeow_2

Thanks. Presumably the risk of losing more than £110 is not huge? and there is possibility of gain of course. I freely admit I don't know a lot about markets etc, although I'm interested. I gather than bonds may not do so well if interest rates drop? From my understanding given the £110 incentive it's low risk??? Am I missing something obvious? Feel free to be blunt if so! I'm happy to learn!

gazza975526570

If you pay in £50 per month rather than the £500 initial outlay your chances of being down are less

Milarky

Got my £110 payment today! Second time.. Just 2 x £50 payments made so far. So it does work repeating an application with L&G - but I advise stopping contributions in the current tax year (no later than March) and then emptying the account again ('sell in May'?)

Reducemydebt

So from a newbie and complete novice's point of view please could somebody confirm my understanding is correct:

1. Open the account through a cashback site of choice (+£110 seems to be the going rate for Quidco or Cashbackkings)

2. Deposit agreed £50p/m and pick a safe option - depending on your views about Risk, obviously don't risk anything you are not prepared to lose.

3. Once Cashback paid, sell ISA (after £500 min deposit?) hopefully for profit or small loss. *

* This is where I lose understanding. If you haven't used up your full ISA allowance are you still better to wait until May to sell? Or can you do this at any point once you have the cashback?

Have I missed anything? Sorry to sound like a spanner, I'm sure I'm not the only one.
Thanks.

bristolleedsfan

Reducemydebt wrote: »

3. Once Cashback paid, sell ISA (after £500 min deposit?) hopefully for profit or small loss. *

.

Better to make monthly payments of 50.00 until the cashback is paid, no need to have a minimum of 500.00 in the ISA