NS&I saver question

innovate

catfish50 wrote: »

I'm waiting for my ISA to be transferred to my current account so that I can put it in the certificates.

Matt_Fitt wrote: »

I've always had it drummed into me that I should never withdraw money from my ISAs.

In this situation where I can earn a good deal more interest from doing so is it a good idea?

What happens after 5 years as I have then lost my ISA allowance and the NS&I account closes?

Hope a few people can help with their opinions on this!

Cheers

Suppose it depends on whether you can fund both, your ISA and the index-linked saver, and also on what your plans for the money are. If you are likely to spend it all within the next 5ish years (but not in the next 12 months), you might as well go for the index-linked saver.

If you can fund both, go for both. That way, you preserve your ISA tax wrappers, and also benefit from the better interest rates on the i-l saver.

Eco_Miser

Matt_Fitt wrote: »

What happens after 5 years as I have then lost my ISA allowance and the NS&I account closes?

On past experience, it rolls over into a new tax-free NS&I account at the then current terms.

So you can probably keep it tax-free and index-linked for as long as you want.

kemo_2002

can i just ask a question, is it £15k max per person or per certificate?

Stompa

kemo_2002 wrote: »

can i just ask a question, is it £15k max per person or per certificate?

Per person.

ANGLICANPAT

From what MSE'ers are reporting, so many people finding their bank coughing and spluttering over allowing their customers money to be taken by NSI-- couldnt be that they (bank) think theyve found a nice little earner by keeping customers NSI designated money in their current accounts for a couple of days longer while they 'sort it out' could it, knowing that they can pacify complaining customers by reminding them they are being diligent 'protecting' their customers money and that NSI will pay interest from the date of application. Too cynical perhaps.

catfish50

Matt_Fitt wrote: »

I've always had it drummed into me that I should never withdraw money from my ISAs.

In this situation where I can earn a good deal more interest from doing so is it a good idea?

It partly depends how many ISA-allowance-years worth of money you've got. In my case, regrettably, it wouldn't take long if I had to move back to ISAs, and that was a factor in my deciding to buy certificates.

What happens after 5 years as I have then lost my ISA allowance and the NS&I account closes?

They issue new certificates I hope.

lisyloo

No, NS&I take the date you submit the application as the start date, regardless of the time it takes them to process it.

This concurs with my personal experience.

Per person.

Be aware that if you use joint names (like I have) then you still only get £15K allowance.
So technically it should probably be "per account".
Exceeding the limits is unlikely to be an issue for most of us as in the past the isssues have been about every 3 months.

lisyloo

In this situation where I can earn a good deal more interest from doing so is it a good idea?

No-one can tell you what future RPI can be.
You can look at historical figures and take a view, but that's about it.

What happens after 5 years as I have then lost my ISA allowance and the NS&I account closes?

You can roll it over and I believe this is in addition to any new allowance.

SallyG

I thought I'd invest £10k [ the max my bank would allow in a single transaction on my debit card] in joint names with my daughter.
As a new customer I've now got a letter from NS&I requesting both signatures - so the die's not yet cast?
Does signing up to this joint arrangement mean she can now buy only £5k in her sole name if/when she has the cash available?

SallyG

I suppose there's a really good reason why we can't invest in this online by opening an account ?