Can I keep adding to my cash ISA?

mistryd4

I am fairly new into my working life, following recently graduating from university and just wanted to ecome a bit more financial savvy in order to make my savings stretch further. It seems like this is the best place for me to start!

I just wanted clarification on how a cash ISA works.

I currently have the maximum tax-free amount in my cash ISA and wondered whether I am able to add a further £5430 in the next tax year to this and gain interest on the full amount ,i.e. £10000+, tax-free?

talana

mistryd4 wrote: »

I currently have the maximum tax-free amount in my cash ISA and wondered whether I am able to add a further £5430 in the next tax year to this and gain interest on the full amount ,i.e. £10000+, tax-free?

Yes you than, that figure is your ISA allowance per year.
Alternatively, you can use next year's allowance to start a fresh ISA elsewhere. Up to you.

xylophone

The cash ISA subscription limit for 2012-13 is £5640.

With regard to adding this to your existing cash ISA after 6 April, it depends on the terms and conditions of the existing account.

jimjames

xylophone wrote: »

The cash ISA subscription limit for 2012-13 is £5640.

With regard to adding this to your existing cash ISA after 6 April, it depends on the terms and conditions of the existing account.

But if the current ISA doesn't allow top ups then there is no reason why you can't open another with next years allowance.

mistryd4

Thanks guys, you've all been very helpful.