ISA query

JamesMannix

Could someone advise me if it is worth investing in an ISA mid-way through the financial year? I am looking to make the most of approx. £5,000 and understand i could get the best return via a fixed rate ISA potentially but don't want to wait til Apr 2011 to invest it. All help appreciated!
Many thanks.

BOBS

You can still put it in and get 6 months interest instead of 12 months. But the interest rates are atrocious on ISA's at the moment. I am getting pittance on mine now compared to a few years ago!! Hopefully someone more knowledgeable will be along shortly.

rb10

The £5100 cash ISA limit applies to each person for each financial year.

This means that during 2010/11, you can pay in any amount up to £5100. During 2011/12, you can either add up to £5100 to the account you opened this year, or open another account, and put it in there.

There's a list of the best ISAs that you can open now here: https://forums.moneysavingexpert.com/discussion/401374

gillianlouise

I would think that if you are a tax payer it would still be a good idea to subscribe to an ISA. As this builds up your tax free savings pot, which saves you 20% tax on interest paid. You should look round for ISA rates they are not fantastic but there are not many accounts that are. You should always factor in the fact that you do not pay tax on these accounts and until the goverment changes the rules any money in an ISA remains tax free for subsquent years. Hope this help the more you save in an ISA the more you beat the taxman. End of the day 5k interest at 2% is £100. some banks give enhanced rates for loyalty if you have othe products with them.