ISA Transfer and 2010 Investment

Spaceman3

My first post - be nice!

I have built up a sum of money in previous years' ISAs, and also have money ready to invest in a 2010 ISA.

Having done a bit of digging around, it looks like the ISAs with the highest interest rates don't allow transfers of previous ISAs (e.g. the Santander one). Therefore, am i right in thinking I should invest only this year's money in the ISA with the highest interest rate, and transfer the rest to an ISA that offers a competitive rate but does allow transfers? I guess I could then move the 2010 ISA to the transfer-allowing ISA next year when the introductory rate ends and the interest rate plummets...

Many thanks in advance...

Lokolo_2

Spaceman3 wrote: »

My first post - be nice!

I have built up a sum of money in previous years' ISAs, and also have money ready to invest in a 2010 ISA.

Having done a bit of digging around, it looks like the ISAs with the highest interest rates don't allow transfers of previous ISAs (e.g. the Santander one). Therefore, am i right in thinking I should invest only this year's money in the ISA with the highest interest rate, and transfer the rest to an ISA that offers a competitive rate but does allow transfers? I guess I could then move the 2010 ISA to the transfer-allowing ISA next year when the introductory rate ends and the interest rate plummets...

Many thanks in advance...

Yes you are right, many top paying ISA's don't allow transfers in!

One question for you though: do you need access to your money?
If the answer is No, then you should consider some fixed term ISA's. There are some offering up to 5% for a 5 year term, but are you able to leave your money alone for that long?