Icesave ISA - What happens next?

Stormy

Ok, with Landsbanki basically going bust and looking like we will have to claim to get money back, what happens if its in a ISA?

When I get compensation will I be able to get that money back in an ISA or lose all my tax free bonus from the last X years?

Too early to tell?

ahmahmahm

I'd be interested to know the answer to this one as well. I would hope that the rules for ISAs would be relaxed in this case, to allow us to open a new one, this year, and transfer in all the money received from the collapsed icesave ISA, and continue to make contributions this year.

Can Martin (or anyone else from the site) make enquiries on this point ?

thanks, Andy

mobfant

I'm looking to start the transfer process now, to a Natwest ISA but it'll take 30 days and who knows when Icesave will release deposits...

Mr_Mumble

The government are usually very lenient in these situations. You shouldn't lose the ISA protection based on what happened to Northern Rock savers:
http://www.thisismoney.co.uk/saving-and-banking/article.html?in_article_id=425445&in_page_id=7

Stormy

mobfant wrote: »

I'm looking to start the transfer process now, to a Natwest ISA but it'll take 30 days and who knows when Icesave will release deposits...

I don't think this will work, Icesave wont release the funds, I think the only route is via the FSCS.

Mike

TDS_2

The truth is that no one really knows right now. I predict that no one will have to make an individual claim, and that it will be done on our behalf by our beloved government. I may of course be completely wrong...

pthov

The UK Treasury statement at http://www.hm-treasury.gov.uk/press_101_08.htm says:
"Arrangements are being put in place to ensure that all ISA customers of Icesave will continue to benefit from the tax-free status of their accounts."