Transfer to IF means 2 Cash ISAs

Axel

Hi,

We are currently transferring an ISA from NSI to Intelligent Finance. We have downloaded the transfer form but we needed to set up an ISA account with IF to get a plan number etc. We have now done this on line but in the procees we had to make the minimum deposit of £1 to open the IF account and get a plan number to transfer to.

Technically we now have 2 cash ISAs which I believe are not allowed. Has anyone else experienced this situation and are there any comments?

Am I concerned about nothing?

Axel

KingL

If the existing ISA was funded in a previous tax year, there is no problem at all.

If it was funded this tax year, it's a bit wierder.

IF should make an exception to the £1 if you are transferring in. Give them a call.



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Lokolo

You should not have made the £1 deposit. You just phone them up and say you are transferring and because you have used your ISA allowance already you need them to authorise it with £0.

jamesd

If you had not paid money into the other cash ISA this year you have done nothing wrong. You're allowed an unlimited number of cash ISAs with money from past years. It's only the current year's money that is limited to one at a time and requires transfer of all of the money to the new one before you can pay in more money.

If you had paid money into the other one this tax year call the HMRC ISA Helpline on 0845 604 1701. They will tell you what to do. Most likely they will tell you to ignore it if you're still below the 3600 limit. Same if you're over by only a Pound but they might tell you to tell IF to void the new ISA and make you create a new one or to refuse to accept the £1 and return it to you.

Small errors like this aren't a big deal, so no need to worry. Just give them a call and do what they say.

thewizz2009

I phoned IF up as I wanted to do something similar, they said if you put you want to fund the account when opening with a cheque. You get the account number and can then send in the transfer forms. And when it transfer it acts as normal