Cashing in ISA

Ordep

I have two ISA's both with Barclays.
Tax beater Cash ISA 2007 AER 6.50%
Golden ISA 2009 AER 3.61%
I assume this two rates have dropped dramatically.
I see, in some instance, you cannot transfer one ISA into another.(newer one)
Can I cash them in at the bank, and then take out another ISA.

Mickygg

The only way you can transfer an ISA and not lose the tax free status is to complete an ISA transfer request form with the new ISA provider or current provider if you stay with the same one. When you say cash in, don't move the funds into another non-ISA account.

There was a thread on here where someone wanted to transfer from Golden issue 1 to golden issue 2 and I believe Barclays did not allow this, but have a search to double check.

Jimmyc

If they weren't fixed then they would have dropped (i don't know much about those accounts)

Have you opened up an ISA already this year? If yes then you have to wait a few days.

You could cash money out then open up a new account but this is not worth considering if you have more then £3600/£5100 as you wont be able to put it all back in. Or if you plan to add to it.

Your best bet is if you have under £3600/£5100 and don't plan to add any more this year is to take it out and open up a Santander Flexible ISA. If you have over this amount maybe look at Halifax account as they do allow transfers

Ordep

Thanks for your replies.
The 2007 ISA has £3,039
The 2009 ISA has £3,600
No I have not taken out an ISA this year. Not worth topping up now?
So I assume I can only take out the one this year. (After April 5)

By cashing in I mean just that, putting the money back in the bank and taking out another ISA with it.

I notice with the Santander Flexible ISA.
"No cash ISA transfers in allowed."

MoneySavingUser

You need to find an ISA which allows transfers in and then transfer your barclays isa's to them. Do not withdraw the money from the ISA's

Transferring an ISA does not affect the annual investment limit so you can still add £5100 of new money into an ISA in the new tax year (this can be the same of different fom the one you are transferring old ISA funds into)

Jimmyc

Ordep wrote: »

Thanks for your replies.
The 2007 ISA has £3,039
The 2009 ISA has £3,600
No I have not taken out an ISA this year. Not worth topping up now?
So I assume I can only take out the one this year. (After April 5)

By cashing in I mean just that, putting the money back in the bank and taking out another ISA with it.

I notice with the Santander Flexible ISA.
"No cash ISA transfers in allowed."

Thats a real shame about the santander account, If next week you take £5100 out of your ISA and put it in that account you will use your allowance up straight away and your other money left will be earning next to nothing, have a look at Halifax they have a couple of good account which you can transfer into.

koopa_coffee

Ordep wrote: »

I have two ISA's both with Barclays.
Tax beater Cash ISA 2007 AER 6.50%
Golden ISA 2009 AER 3.61%
I assume this two rates have dropped dramatically.
I see, in some instance, you cannot transfer one ISA into another.(newer one)
Can I cash them in at the bank, and then take out another ISA.

Tax Beater is earning 0.56%
Golden ISA depending on the date you took it out is either earning 3.61% still or 2.58%

Ordep

Jimmyc. BM have an ISA at the moment @ 2.7% AER.
I spoke to them this afternoon & they advised waiting till next month when the new products will be out.

koopa_coffee,
Thanks for that, that's not a complete disaster then.