Monmouthshire B Socy

badger09

arsenalboy wrote: »

I have 12k in issue 1.

I need to withdraw 3k in June but can then put 15k in July, making a net investment of 12k in the year and a balance of 24k.

Is that allowed, or will it be deemed I have exceeded the deposit limit of 12k by putting in 15k?

From Issue 1 Terms and Conditions

'2 - Further Investment
You may add to your savings at any time, just call into your local branch or agency office with your passbook and deposit. If it is more convenient you can post it or save through a standing order from your bank account. Credits into the Flexible Saver accounts held can be made monthly to each individual Flexible Saver account(s) held by direct debit up to £1,000 per month (minimum £20 per month) and / or deposit monies at any time subject to a maximum investment of £12,000 per year (ending 31 March) applicable across all Flexible Saver accounts held per customer.' (My emphasis)

I would interpret that as meaning you can do what you want, as long as you don't exceed net deposit £12k per annum. Hope I'm right

Gromitt

arsenalboy wrote: »

Is that allowed, or will it be deemed I have exceeded the deposit limit of 12k by putting in 15k?

I'd say its not allowed. You can only put 12K in per year, regardless of whether or not you made a withdrawal.

arsenalboy

Just as I thought.... i.e., confusing.One for and one against!!

badger09

arsenalboy wrote: »

Just as I thought.... i.e., confusing.One for and one against!!

Why don't you call them (tomorrow obviously )

I've found them very helpful on the phone.

If you do - please let us know what they say

arsenalboy

Okay, I have rung them this morning and posed the question. The question caught customer services unawares and they had to go off and consult somebody else.
The answer is that you cannot replace withdrawn funds if it will take your current year deposits over the 12K.
Thanks for the replies.

badger09

arsenalboy wrote: »

Okay, I have rung them this morning and posed the question. The question caught customer services unawares and they had to go off and consult somebody else.
The answer is that you cannot replace withdrawn funds if it will take your current year deposits over the 12K.
Thanks for the replies.

Thanks for this

Note to self: Engage brain :eek:

I'm planning to withdraw £3500 (from money paid in earlier this year) later this week in order to fund this year's ISA and won't be able to pay anything into this account (Issue 1) until the end of April. I never thought I'd be able to pay in £15500!

I did hope though, that it would be possible to withdraw and later replace some of the current year's £12k allowance. Seems not

psychic_teabag

Will your ISA be fixed or instant-access ? If the latter, is there a case for not fully funding it initially, so you can leave the money in Monmouth ?

If you leave it, the 3500 earns 4% taxable for 9 months, and you get less from your ISA for one month.

If you withdraw it, the ISA is in for one month longer, but then you'll have an extra 3500 later in the year that you can't put back into Monmouth, and so will have to go into a taxable account paying, say, 3.2%

It may turn out fairly close either way.

badger09

psychic_teabag wrote: »

Will your ISA be fixed or instant-access ? If the latter, is there a case for not fully funding it initially, so you can leave the money in Monmouth ?

If you leave it, the 3500 earns 4% taxable for 9 months, and you get less from your ISA for one month.

If you withdraw it, the ISA is in for one month longer, but then you'll have an extra 3500 later in the year that you can't put back into Monmouth, and so will have to go into a taxable account paying, say, 3.2%

It may turn out fairly close either way.

Current (cunning ) plan is to add £5640 to Santander 2 Year Fixed Rate 4% which I opened mid March with xfers, so better there than in Monmouthshire. I have to add it by 14th though .

badger09

badger09 wrote: »

Current (cunning ) plan is to add £5640 to Santander 2 Year Fixed Rate 4% which I opened mid March with xfers, so better there than in Monmouthshire. I have to add it by 14th though .

Cunning Plan B

Just done DD switch online to make Nationwide FlexAccount our 'main' current account. Still won't actually be our main account, but will qualify as such

Pay available cash into Flexclusive ISA on 7th April - or as soon as I can get through the doors at Nationwide Top up at end of April with balance from maturing Fixed Rate account, leaving £3500 safe in Monmouthshire earning 4%. Also whack £12k in Monmouthshire (from same maturing account). Loss of interest on ISA minimal. Simples :rotfl:

MoneyStudent

Has anyone put in the next possible batch of 12k ?