Budget 2009: Cash Isa Limit Increased

Milarky

TREVORCOLMAN wrote: »

I have just called The Halifax. They DO NOT allow you to add to a fixed rate even to put in the extra £1500 the government announced!

I can't see how any ISA provider could evade responsibility for accepting extra cash - although they could do so on less favourable terms than an earlier fixed-term account was offering. Have you asked them what cash ISAs they will offer you for this extra money?

rb10

TREVORCOLMAN wrote: »

I have just called The Halifax. They DO NOT allow you to add to a fixed rate even to put in the extra £1500 the government announced!

There has been a misunderstanding somewhere. If you have a fixed rate ISA that you have subscribed to during the current tax year, and will be 50 on or before 5th April 2010, then you can definitely pay in a further £1500 between 6th October 2009 and 5th April 2010, as long as it's just in one transaction.

TREVORCOLMAN

That is what a told the guy on the phone - but he was adamant that I could not add - perhaps they need to train the staff better - I will write to HFX.

TREVORCOLMAN

Just rang Halifax again - YES I can pay £1500 in on 6 Oct although lady I spoke to was not sure if I could do this on line or in Branch - they should have more details nearer time.

I politely stated that yesterday I was told NO.

She stated that all staff should have received and email.

Asked about Stocks & Shares(S&S) ISA she thinks I can top up to a total of £10,200 across both Cash and S&S. She gave me a number for Investment Dept 01904 611110 (Mon-Fri 9-6) (Sat 9-1).

sheslookinhot

rb10 wrote: »

There has been a misunderstanding somewhere. If you have a fixed rate ISA that you have subscribed to during the current tax year, and will be 50 on or before 5th April 2010, then you can definitely pay in a further £1500 between 6th October 2009 and 5th April 2010, as long as it's just in one transaction.

Are you sure ? Is it not that you cannot have extra limit unless you have reached 50 by 6 Oct ?

Does anyone know if Lloyds accept extra payment to FRISA.

Cheers

Baldur

sheslookinhot wrote: »

Are you sure? Is it not that you cannot have extra limit unless you have reached 50 by 6 Oct?

RB10 is correct - see the relevant Statutory Instrument

2. Purpose of the instrument

2.1 These regulations amend the Individual Savings Account Regulations 1998 (S.I. 1998/1870) (“the principal Regulations”).

2.2 They amend the existing regulations by raising the ISA subscription limits for individuals who will be aged 50 or over not later than 5 April 2010, to £10,200, of which £5,100 can be invested in cash, with effect from 6 October 2009. They also raise the ISA limits to these levels for all individuals from 6 April 2010.

Dalbeattiestars

This is my first contribution to this forum and the only reason I am writing this is because I am now over 50 and can if I want use the extra facility available and save more in an ISA. I notice that the under 50’s are complaining that they cant do this until next year, but what they are not taking into account is the fact that no matter what people think the government are not stupid, they know what they are doing. Until April 2010 when the age goes up to 55 I can retire. I can also take 25% of my private pension in a lump sum to spend as I see fit. Considering the state of the pension fund market this may appeal to those that have taken this route and they will be looking for a place to put some or all of this lump sum. This is simply a way of encouraging the over 50’s to save some of this money. Its not ageist or getting at the under 50’s its just logic the more we have saved for ourselves the less the government are going to have to fork out in the future.