Existing Cash ISA account - what to do in '09/10?

cris-tina

Hi guys,

Been trying to figure out what my options are for the new financial year - '09 / 10 - but found the available info a bit confusing. Wondering if you can help..

I've opened a Cash ISA with Barclays on 7th May 2008 and used the full allowance - £3600. Have made a few withdrawals but still have over £1000 left in it. My questions are:
1. Am I allowed to change providers in the new financial year and if yes, when is the best time considering my opening date?

2. Should I withdraw all the money from this account and deposit them into a new Cash ISA account from a different provider or it's best to transfer them?

3. Am I still entitled to £3600 for '09/10 even though I've used the full allowance in '08/09?

Thank you!

^!£$&

1. You can change providers at any time you dont have to wait until the new financial year!
2. No transfer the balance, your new bank will have a form for you to do this easily and hassle free- (providing its an isa account that accepts transfers so make sure it is)
3. Yes

opinions4u

cris-tina wrote: »

1. Am I allowed to change providers in the new financial year and if yes, when is the best time considering my opening date?

You can change providers at any time, as long as your new provider accepts transfers in. For example, you can transfer your 2008/9 Barclays ISA to Halifax Reward ISA now, and then top up the Halifax one with a further £3,600 after 6th April.

2. Should I withdraw all the money from this account and deposit them into a new Cash ISA account from a different provider

Noooooo!

or it's best to transfer them?

Get the new provider to do the paperwork and transfer it in. This will then preserve your 2008/9 cash ISA allowance.

3. Am I still entitled to £3600 for '09/10 even though I've used the full allowance in '08/09?

Yes. £3,600 in a cash ISA each tax year (until they change the rules).

I would try, wherever possible, not to withdraw from a cash ISAs. I know it's not always possible to live life this way, but if you can build up your tax free savings each year you could place yourself in a position where you are saving £hundreds or even £thousands in tax on interest every year.

Here's a linky to some more information on the subject.

fullstop

cris-tina wrote: »

Hi guys,

Been trying to figure out what my options are for the new financial year - '09 / 10 - but found the available info a bit confusing. Wondering if you can help..

I've opened a Cash ISA with Barclays on 7th May 2008 and used the full allowance - £3600. Have made a few withdrawals but still have over £1000 left in it. My questions are:
1. Am I allowed to change providers in the new financial year and if yes, when is the best time considering my opening date?

2. Should I withdraw all the money from this account and deposit them into a new Cash ISA account from a different provider or it's best to transfer them?

3. Am I still entitled to £3600 for '09/10 even though I've used the full allowance in '08/09?

Thank you!

Yes you can change providers , You can open a new ISA any time in the new tax year.

Have a look at the best deals around and if you find one which allows transfers in and has a decent rate you can transfer previous years money into it,

Yes you are allowed another £3600 in 09/10