Morgage ISA

dexradio

Hi All,

Could do with some guidance. I have a Morgage ISA, but don't currently fill up my annual allowance. Its been running for about 11 years and is estimated to be 11k down on where it needs to be to satisfy the morgage at the end of the term. So thats one problem to deal with, and I'm thinking of just going back to a standard Repayment Morgage to pay the thing off in full asap.

Second thing is that I would like to open a Share Trading account to do my own trades under an ISA to gain the tax benefits it can bring. I'm more likely to use my ISA allowance on this basis.

I don't believe I can run 2 ISA's side by side, so if I stick with the Morgage ISA I can't use it for Sharetrading account, and if I want to use an ISA with the Sharetrading account I have to cancel the Morgage ISA anyway.

Have I understood this correctly? Anyone able to offer a view on what I might do to get the best of both worlds?

Thanks,

Dex.

poppy10_2

You can have as many ISAs as you like, as long as you only open and pay into one a year.

Thrugelmir

dexradio wrote: »

Hi All,

Could do with some guidance. I have a Morgage ISA, but don't currently fill up my annual allowance. Its been running for about 11 years and is estimated to be 11k down on where it needs to be to satisfy the morgage at the end of the term. So thats one problem to deal with, and I'm thinking of just going back to a standard Repayment Morgage to pay the thing off in full asap.

Second thing is that I would like to open a Share Trading account to do my own trades under an ISA to gain the tax benefits it can bring. I'm more likely to use my ISA allowance on this basis.

I don't believe I can run 2 ISA's side by side, so if I stick with the Morgage ISA I can't use it for Sharetrading account, and if I want to use an ISA with the Sharetrading account I have to cancel the Morgage ISA anyway.

Have I understood this correctly? Anyone able to offer a view on what I might do to get the best of both worlds?

Thanks,

Dex.

Switch to a repayment mortgage and use some of your ISA holdings to clear a capital balance off your mortgage.

Start to speculate with shares once your mortgage repayment is back on schedule.

Comyface

dexradio wrote: »

Hi All,

Could do with some guidance. I have a Morgage ISA, but don't currently fill up my annual allowance. Its been running for about 11 years and is estimated to be 11k down on where it needs to be to satisfy the morgage at the end of the term. So thats one problem to deal with, and I'm thinking of just going back to a standard Repayment Morgage to pay the thing off in full asap.

Second thing is that I would like to open a Share Trading account to do my own trades under an ISA to gain the tax benefits it can bring. I'm more likely to use my ISA allowance on this basis.

I don't believe I can run 2 ISA's side by side, so if I stick with the Morgage ISA I can't use it for Sharetrading account, and if I want to use an ISA with the Sharetrading account I have to cancel the Morgage ISA anyway.

Have I understood this correctly? Anyone able to offer a view on what I might do to get the best of both worlds?

Thanks,

Dex.

Yes you can't pay into 2 different stocks and shares ISA in the same financial year.

Have you paid into your mortgage ISA since 5th April? If so, you won't be able to pay into a different S&S ISA until next tax year. If not, decide quickly what to do and if you decide to transfer to a repayment mortgage (which I would do if I were you, by the way), stop your payment to the mortgage ISA asap (cancel the DD or whatever).