Barclays Golden ISA - issue 3 / 3.25% AER now available

Lokolo_2

Dalkirst wrote: »

Can someone explain this a bit better for me please.I have been looking at this golden isa issue 3 for some time now as my partner was given £5000 from her nan.The thing is she doesn't want to put it into somewhere she can't get to so my questions are

1.Can she take the money out at a moments notice
2.If she puts the whole 5grand in how does the interst work is it paid monthly and at what rate(i told you i know nothing about these things)
3.The money is sitting in the current account at the moment so i believe we just transfer it over?

We already use online bankung with Barclays using our current and savings accounts so that's ok.

Thanks

1) Yes, the ISA is instant access so you can withdraw from it at any time

2) Interest is paid monthly, 3.25% AER, so the monthly interest is approximately 3.25% divided by 12 (maths isn't my strong point!)

3) Yes, if you have Online banking you can apply for the ISA directly from there and chose which of your accounts to take the funds from to fund the ISA :j

Dalkirst

aaronmanz wrote: »

1) Yes, the ISA is instant access so you can withdraw from it at any time

2) Interest is paid monthly, 3.25% AER, so the monthly interest is approximately 3.25% divided by 12 (maths isn't my strong point!)

3) Yes, if you have Online banking you can apply for the ISA directly from there and chose which of your accounts to take the funds from to fund the ISA :j

Thanks for replying:)

So on number 2 it would be say £5000 x 3.25% = £162.50 divided by 12 = £13.54 so if it's all left in we would get £13.54 per month?

Lokolo_2

Dalkirst wrote: »

Thanks for replying:)

So on number 2 it would be say £5000 x 3.25% = £162.50 divided by 12 = £13.54 so if it's all left in we would get £13.54 per month?

Yes, but possibly slightly more due to compound interest, so when your monthly interest is added to the ISA balance, next months interest will be slightly higher :j

bertsilver

aaronmanz wrote: »

Yes, as long as the ISA provider to whom you want to transfer to, accepts transfers in, Transfers do not count towards your annual ISA allowance :j

Edit: Barclays Golden ISA 3 does NOT accept transfers in. So NO if you wanted to transfer to Barclays.

So with transfers in you could have a big pot of money in one ISA?

Lokolo_2

bertsilver wrote: »

So with transfers in you could have a big pot of money in one ISA?

Theoretically, Yes, but many ISA's don't accept transfers in, so people normally end up with many individual ISA's, it is a good idea to combine previous year's ISA's though. I think those who first started saving into ISA's when they were released, have in excess of £50k of tax-free cash locked away from the taxman :j

cm233lh

Lokolo_2 wrote: »

Yes, but possibly slightly more due to compound interest, so when your monthly interest is added to the ISA balance, next months interest will be slightly higher

Read this on AER

http://www.moneysavingexpert.com/banking/interest-rates#AER

The monthly interest is slightly LESS than the AER/12. The AER is the compounded rate you would get if you left the monthly payments there for a year. So you should get a bit less than £13.54 in the first month, then a few pence more each month until you eventually get £162.50 total, assuming you leave all the money where it is is and don't keep withdrawing the interest.

Lokolo_2

cm233lh wrote: »

Read this on AER

http://www.moneysavingexpert.com/banking/interest-rates#AER

The monthly interest is slightly LESS than the AER/12. The AER is the compounded rate you would get if you left the monthly payments there for a year. So you should get a bit less than £13.54 in the first month, then a few pence more each month until you eventually get £162.50 total, assuming you leave all the money where it is is and don't keep withdrawing the interest.

I know that, I am not stupid, that is why I said APPROXIMATELY in my post above.

glider3560

Lokolo_2 wrote: »

I know that, I am not stupid, that is why I said APPROXIMATELY in my post above.

Lokolo 2??? What happened to the original Lokolo?

Lokolo_2

glider3560 wrote: »

Lokolo 2??? What happened to the original Lokolo?

Oh he's still around, I had a username change, I used to be aaronmanz :rotfl:The reason for this is that I consider Lokolo a role model!

Hadrian

Lokolo_2 wrote: »

NO, unfortunately you cannot transfer any Previous years ISA into Golden ISA 3, regardless of if those were with Barclays.

I can't understand the logic of the quote above for love nor money!:mad:

If I can't transfer then what's to stop me from taking out and putting my Barclays Golden ISA 2 money back into my current account and THEN opening the new one, Golden ISA 3. What will I loose or what's the best way to do it. When should I do this to best effect?