Clarity on ISA transfer from Icesave to another bank/building society

napoleon

ad44downey wrote: »

Funny that. Becasue they told me on the phone today that I could transfer my entire Icesave ISA balance, over £20k, into it

They just told me similar. They said I could pay my full £12,000 Icesave isa money in. Will try and see.

kayaitch

Icesaver wrote: »

I've been looking around for a good place to put my ISA as we all have, my first two thoughts were Nat West when they were advertising the 7.32% and NR 6% fixed. The former has had its rate dropped, and seems to have other problems if you read through postings elsewhere here. NR pulled their fixed rate yesterday.

It occurred to me that as my current account holder (Smile) also offer a Cash ISA, though the rate is a mere 4.25% probably about to drop further since the BOE 1.5% cut, it might make things a lot smoother to keep our ISA money with the same institution that our compensation is transferred to. Also there will be many trying to open new ISAs with the best rate paying accounts adding to their workload and increasing the chance of something going wrong (ever the pessimist) and it might be better for now to accept a low rate of interest for the next couple of months, until things settle then look around for a better rate later.

I've secure messaged them to ask advice on whether to set up my ISA now or when I've received the certificate.

Good idea - I may do the same. Does anyone know if you can reinvest the whole amount including interest which in my case would come to about £3800 or just the maximum £3600 (even though this relates to a transfer from a previous year's ISA)? NB I emailed Scottish Widows with this query intending to transfer to them but they haven't bothered to answer - I think they just lost a prospective customer!

Baldur

kayaitch wrote: »

Good idea - I may do the same. Does anyone know if you can reinvest the whole amount including interest which in my case would come to about £3800 or just the maximum £3600 (even though this relates to a transfer from a previous year's ISA)? NB I emailed Scottish Widows with this query intending to transfer to them but they haven't bothered to answer - I think they just lost a prospective customer!

Transfers do not count as Cash ISA subscriptions, you can transfer your existing ISA including any accrued interest - the £3,600 allowance only relates to the current tax year's suscriptions.

caromel

I had an 07/08 cash ISA with Icesave (approx. £3200). I can't yet initiate my claim on my savings, but when the money comes into my First Direct account, I was planning on leaving it there until Feb 09, then transferring to a new ISA account, wherever I can get the best rate. I have a mortgage with First Direct, fixed at 5.19%, so while ISA money is sitting in there, it will be offsetting against my mortgage.

Does this seem like a sensible option? Or should I be looking for a best rate ISA sooner rather than later, taking into account that come Feb 09, rates might be worse than they are now?

Icesaver

chardir wrote: »

I'd be interested to see how this turns out. I'm in the same situation with my Icesave compensation coming to my Smile current account. If it's quick and easy to get the money into a Smile ISA then I can use the normal transfer process to move to Natwest without having to negotiate clueless branch staff.

Smile Isa account now open with a zero balance, just waiting for the second FSCS e-mail to initiate my claim, and keeping an eye on all those other ISA's out there

kayaitch

kayaitch wrote: »

Good idea - I may do the same. Does anyone know if you can reinvest the whole amount including interest which in my case would come to about £3800 or just the maximum £3600 (even though this relates to a transfer from a previous year's ISA)? NB I emailed Scottish Widows with this query intending to transfer to them but they haven't bothered to answer - I think they just lost a prospective customer!

Regarding my above comments on Scottish Widows - got home and found a package from them had arrived in the post with forms etc to open a Cash ISA so I take that back!

AbbieCadabra

snap! my scottish widows forms came yesterday too, dated 13.11.08.

realaledrinker

Icesaver wrote: »

Smile Isa account now open with a zero balance, just waiting for the second FSCS e-mail to initiate my claim, and keeping an eye on all those other ISA's out there

Seen their interest rate recently?? :eek:

From 20 Nov 08 after 1.5% BoE drop:

With a smile current a/c 2.75%
Without a smile current a/c 2.00%

Thomas_Crown

I'm intending to place my Icesave

Icesaver

realaledrinker wrote: »

Seen their interest rate recently?? :eek:

From 20 Nov 08 after 1.5% BoE drop:

With a smile current a/c 2.75%
Without a smile current a/c 2.00%

Yes I had e-mail from smile yesterday, now a terrible rte at the old 4.25% I was prepared to wait and see. Will re-think now and might go for NR fixed at 5%