Feeling really thick about ISAs

Badger_Lady

OK, I've been saving £300 per month into my Barclays cash ISA for the last year - great So my fixed rate is coming to an end, and the man in the branch said "don't forget to apply for the next year's one", which I know is the best rate currently available anyway.

So do I have to apply for the new Barclays ISA before midnight tonight? What happens if I don't? Or, because I've already used my 2008/9 ISA allowance, am I safe to wait a couple of days?

I've been trying to hack into my own online banking, you see - it's just too difficult to circumvent so I'll have to go into a branch

Lokolo

Doesn't matter when you open it. As long as you don't pay into the old ISA (the one you have been paying into) from tomorrow.

BruceyBonus

Badger_Lady wrote: »

So my fixed rate is coming to an end

Was that the Tax Haven ISA? It wasn't fixed rate but instead included a 1% bonus for the first year.

Badger_Lady

I don't know, Brucey - but it doesn't really matter since I ended up spending two-thirds of it on emergencies :rolleyes: and it was my first ever ISA... therefore the £1200-odd sitting in it won't have had much difference in interest.

I'm hoping this will be a luckier year! (Again, unlikely since I currently have no sewarage service to my house and it seems to be down to me to pay for a 12 feet dig into a public highway to reconnect it...)

BruceyBonus

The 09/10 ISA can be opened anytime after midnight tonight and before 5th April 2010.

daveshoelace

I was about to ask this same question, I have another.

I have £3654 in my ISA for the current tax year, what shall I do with that? Im a better off moving it into my normal savings account or leaving it where it is? I presume I am still getting the same benefits post 08/09 on my 08/09 ISA (if that makes sense)?

Baldur

daveshoelace wrote: »

I have £3654 in my ISA for the current tax year, what shall I do with that? Im a better off moving it into my normal savings account or leaving it where it is? I presume I am still getting the same benefits post 08/09 on my 08/09 ISA (if that makes sense)?

The tax-free status of Cash ISAs is ongoing (at least for as long as the ISA scheme lasts), so the last thing to do is to withdraw from them, if at all possible.

If your current provider is paying a poor rate, choose a different one that offers a better rate & accepts transfers, complete their transfer form and they will arrange the transfer of your old ISA for you. You can still pay your full 2009/10 allowance into whichever ISA you choose.