New isa

jimbouk_2

Morning all
Looking to switch my isa to a higher interest one for the new tax tear.
Am i correct in thinking that i must not make any payments in to my old account after the 5th April.
Reason being is i have a DD set up to transfer funds into my current isa on 1st April and need to cancel that after the last payment for this year.

Thanks

Jim

Sanzai

It depends - if you are looking to switch to a new one by putting 'new money' into it, then you are correct and you cannot put 'new money' into the old one in the 2010/11 tax year. However, if you intend to keep the old one going and just transfer existing ISA money into the new one, then you can carry on with payments of new money into the old account.

For the vast majority, the former scenario would be most apt and is, I suspect, what you are planning to do.