ISA FULL - HELP!

MIRANDAB_2

::)

I have a Halifax ISA with £3,000 in it.

Just wondered what I should do with my £1,000 per month savings as I can't put any more in my ISA until April. Should I put it in a Regular Savings account and then transfer it over to my ISA in April?

I do currently have a Derbyshire Regular Savings Account which I put £30 a month in as a "pension" and would like to keep this completely separate from my ISA savings and not touch it until I retire.

Any ideas??? :-*

Robert_Sterling_3

If you can save £1000 per month you can certainly start a regular savings account now.   Generally with regular savings you save the same amount each month for a fixed period of time.  Generally there are penalties for withdrawing money early if it allowed at all.  There are exceptions to these generalities.  Read the terms and conditions.

Walletwatch

Check out the Halifax and Abbey regular savers, they pay 7% interest, but be quick though... with interest rates more or less stabilizing, they may withdraw these deals any day now.

Rafter

If you are saving longer term and want to avoid paying tax, worth checking out national savings certificates, although they are generally for lump sum investment rather than regular amounts.

Do you have a mortgage? If so you may be better off paying off some of that or offsetting through a smart mortgage, one account or openplan type scheme.

Other tax free options include additional pension fund contributions.

R.

MIRANDAB_2

Thanks.

No, I have no mortgage to pay off. These savings are purely for when I go away travelling in September 2005. So, obviously I will need a an account that would make it easy for me to withdraw some of it in 9 or 10 months' time.

Will check out the Halifax & Abbey Regular Savers.

If I open a Regular Savers do I just transfer £3,000 straight across from that account to my ISA in April?

Thanks for the info!

Mx

Robert_Sterling_3

A regular saver usually requires you to save regularly.
The name of the account is a bit of a give away here.
So there are usually penalties for withdrawing your money before maturity.  
Regular savings accounts may not suit your situation.  
On the other hand you could save money regularly into account which was not a regular saver account
if you follow my drift.

MIRANDAB_2

I think with the Abbey National Regular Savers you only lose one month's worth of interest if you withdraw on it. Wonder if its worth doing this at 7% rather than a normal savers account at 5%.

Cheers for the advice!

mx

Walletwatch

I think (and someone pls correct me if I am wrong) that this would depend upon which of the months you miss a payment. If it is in the earlier stages, since the basis amount on which interest is calculated is lesser, the downside will be less, but missing payments becomes dearer as you move towards the twelfth month..

I may have gotten it completely wrong here... have an Abbey FRSM myself, will try calling Customer Services today and check.

Shinds

Egg Savings. 5.5% Gross for the 1st six months.

MIRANDAB_2

I think I might split my savings - put some money in Abbey Reg Savers and some in Halifax Reg Savers - as the Halifax is a bit more flexible. Still keep my ISA going.

Saving is confusing when there's too many choices!!!! :-/

Anyone know how long these fixed rate Reg savers are going to be available??

Cheers

mx

coppersaver

Get married and convince your hubby to use his allowance to open an ISA for you to use? That might be going a bit far though! :LOL: