Cash ISA Transfer

Sulumar

Be gentle....this is my first post

I would like to transfer my Cash ISA to one with a better rate of interest. However, I have already put the maximum into my maxi ISA for this year. Every cash ISA I've come across which accepts transfers seems to always request that I open an account with a deposit, may be £1 and then follow up with a transfer, rather than permitting the transfer alone. But if that's the case, I will exceed my ISA limit for the year. Is anyone aware of an ISA that gets round this and has a better rate. I'm currently with IF and the rate's 4.55% pa gross.

Thanks for any help.

lisyloo

seems to always request that I open an account with a deposit, may be £1 and then follow up with a transfer

Is this what you are reading somewhere (in a leaflet or on a website) or have you actually been told this by staff.
I saw this with the Halifax but the requirement was waived when I actually spoke to them (they said it wasn't necessary).
A&L did not require me to do it, I just transfered straight in.

If you have read it somewhere then I would follow it up with an enquiry as they may not enforce it (like the Halifax).

Sulumar

Thanks for the response, Lisyloo

This seems to be the way I'm interpreting websites, which is where I do most of my checking up. It sounds like I'd actually benefit by talking to someone in person though to get it clarified.

I'm looking at the Bradford & Bingley at the mo, since NSI doesn't take transfers, this loks hopeful:
"You need to open your account with a minimum £1,000 balance/maximum £3,000 balance by sending a personal cheque from a bank account held in your name or transferring an existing cash ISA held in your name."

Thanks again

baldbloke_2

I think that most Banks & BS are just trying to remind anyone who has recently opened an ISA for the current year with them that they can also consider transferring their existing ISA to them. Admittedly one or two providers do not allow transfers-in but that is clearly stated in their Ts & Cs.

Lisyloo is quite right to suggest you walk in or phone them and explain your intentions. Banks turn down money! Never!

To be honest, as the tax year continues the providers will be only too anxious to get people to transfer over - knowing that by then many if not most serious savers have already deposited their £3k for the current year.

Optimist

I have just arranged to transfer mine from M&S to Bradford and Bingley they most certainly dont insist on you opening with a £1. I just arranged the transfer straight away online and a couple of days later they sent me the forms to sign.

ReportInvestor

Transfers from past years are accepted by most providers except for National Savings (because of their top rate) and some smaller/medium sized building societies. So I'd persist, if I were you.

Bradford & Bingley accept transfers on each of their three types of Cash ISA - Instant, Internet & 3 Year Bond.

The wording quoted is consistent with those forms you used to sign to say that you would invest next year's ISA allowance with the same firm. They were a complete con too.

One thing that is not widely known is that you can transfer a single past ISA from one provider into several other providers - as long as the incoming providers are happy with the initial investment with them.

This is a tactic usually employed by carpetbaggers, rather than serious investors or moneysavers.

Sulumar

Thanks everyone. Now I've just checked that IF won't charge me for the privilege of moving my money, it's full steam ahead to the B&B.

Now, about that mortgage pig ......

johnmoney05

Yes, I just moved my £8k ISA with M&S which just reduced their interest rate from 4.75% to 4.5% on 7 July, and still not bothered to tell me. I returned the form to B&B this Monday. They were real quick, I applied on the internet on Thursday, received the form on Saturday. Now M&S has 30 days to respond...while I will be on my holiday. Hopefully will get the confirmation from B&B when I am back in September. At the moment, I am considering to move my A&L cash ISA to somewhere. Their interest rate is 4.75% at the moment. I am waiting to see if the interest rate will be changed in September. Changing bank like this is not funny, already moved my cash ISA from C&G to Kent BS this May.

ManAtHome

Thanks for the M&S update John - I'd been expecting it, but it'll probably be a couple more weeks before they let us know.