How can I transfer/consolidate without losing ISA perks?

UltimateNachos

Hi All,
Hoping you can advise.....
I have 3 ISAs with Alliance and Leicester (now Santander). One of these is current and at it's max. The other 2 are now earning me 0% and doing nothing for me.
I had planned to use these savings for a house deposit but due to these wonderful economic times :cool: I'm now in the situation where house buying is not an option, and instead I have 2 dud ISAs - and no idea how to get them to earn me interest.

My questions are - how can I transfer/consolidate them WITHOUT losing the perks of them being ISAs? Where should I transfer them to? And how do I do it?

(I did have an appt booked to discuss in-branch....but that fell through and I never want to set foot in that bank again! :mad: Or deal with the A&L ever again... but that's a whole different story )

Any advice gratefully received......
Thanks,
Nachos

Barnetboy

I recently transferred 3 ISAs to Halifax for a 3 year deal. Transfers like this do not affect your ISA allowance for the year and usually the company you plan to move to will contact your current provider(s).

Halifax gave me a form to fill in and in due course the providers I was moving from sent me forms to fill in to close the accounts.

The thing you MUST NOT do is to remove the money from the ISA you wish to close and then try to reinvest it as it will lose it's tax-free status. Instead ask your new provider for a transfer and they (should) do the rest.

Simples.

UltimateNachos

Thanks Barnetboy - simples indeed

Barnetboy

The providers of the ISAs you close sometimes try to drag their heels but regulations were introduced a while ago to prevent them from doing this.

ricky.patel89

So if wanted you could transfer in ISA's from previous years into a new account, e.g. ISA's from the previous 5 years, so basically £25,500 and put this into a fixed rate ISA?

CLAPTON

ricky.patel89 wrote: »

So if wanted you could transfer in ISA's from previous years into a new account, e.g. ISA's from the previous 5 years, so basically £25,500 and put this into a fixed rate ISA?

the rules allow this but you must check with the specific ISA; some do allow it and others don't .. the words to look for are something like 'transfers in are allowed'

Jake'sGran

ricky.patel89 wrote: »

So if wanted you could transfer in ISA's from previous years into a new account, e.g. ISA's from the previous 5 years, so basically £25,500 and put this into a fixed rate ISA?

Yes, but the company you wish to transfer to would have to organise it and these ISA transfers are notoriously slow. You would just need to complete a transfer form or three. Last year I transferred a cash ISA to a stocks and shares ISA and that went smoothly.

I don't understands the first post in this thread. What is the point of an ISA that is not earning anything? Very strange!!

Barnetboy

As I stated further up, I transferred some ISAs recently and it was relatively quick and painless. Not sure if this was down to the bank receiving the funds or new rules introduced to stop the banks losing the funds from dragging their heels.
I'm fairly sure I only filled in one form or even just signed a few things the receiving bank prepared.

UltimateNachos

Jake's gran - Erm - that is the whole point of this thread - clearly I did not take out ISAs at a rate of 0% but as the rates have now matured and dropped to 0% I'm looking to move them so that they DO earn for me.