End of 06/07 Financial Year Mini Cash ISA Discussion Area

masonic

You can only have one (cash) ISA per tax year.

stuartw101

Riviera_Kid wrote: »

The answer to your two questions is yes

Any idea if NS&I accept transfers to and from their account?

Thanks

jem16

stuartw101 wrote: »

Any idea if NS&I accept transfers to and from their account?

Thanks

You cannot transfer to NS&I. However you can transfer from it.

chief2221

First time newbie here!! Some advice please...neither my wife nor I have an ISA but we do have 12k from a recent house sale which we could tie into an ISA using both our allowances for 06/07 and 07/08. Reading the threads, Barclays appear to have the best at the moment. Should we put all 12k into it? We are able to tie up the cash for 2 years. Any advice welcome.

PS. Great site.

wotless

Dear esteemed MSE veterans/ISA experts

I'm currently a lowly graduate deficit banking with my postgraduate account (that offers 2k interest free overdraft until Sept '07 where it is then reduced to 1k and then 500 in '08) in tandem with the NS&I ISA...having reached my 3k limit for this year and very aware that the tax year is nearly up I wish to clarify a few things to see if I am maximising my rather limited savings.

1) I have contacted NS&I and understand that I can continue my account i.e. leave the 3k (plus whatever interest accrued) in my account and then add my 07/08 3k allowance as and when possible, my question is - is the interest paid out at the end of the year calculated on a monthly basis as oppossed to what is in my account on the 5th April '08?...I ask as I may need to withdraw monies for a mortgage etc.

2) What happens to the money in my NS&I account if I decide that I'd prefer to open an ISA with Barclays at 6.5% for 07/08? Added to this if the money left in my NS&I account accrues interest in 07/08 is this classified as active? If it does not count as being active (does active mean the account you pay your 3k in to?) Finally is it actually worth all this hassle for what would probably be a little over 20 quid - would it be better just keep it simple and stick with NS&I - what are the pros and cons in my situation?

Thanks

David

masonic

chief2221 wrote: »

First time newbie here!! Some advice please...neither my wife nor I have an ISA but we do have 12k from a recent house sale which we could tie into an ISA using both our allowances for 06/07 and 07/08. Reading the threads, Barclays appear to have the best at the moment. Should we put all 12k into it? We are able to tie up the cash for 2 years. Any advice welcome.

At least with the Barclays account, you should be able to go to a branch and get it opened on the same day - there are large delays with some other accounts. They might drop their rate at some point, but you could always transfer the balance. I'm considering them for 2007/8, but to be honest NS&I is more tempting to me because of their rate guarantee and past performance.

masonic

wotless wrote: »

1) I have contacted NS&I and understand that I can continue my account i.e. leave the 3k (plus whatever interest accrued) in my account and then add my 07/08 3k allowance as and when possible, my question is - is the interest paid out at the end of the year calculated on a monthly basis as oppossed to what is in my account on the 5th April '08?...I ask as I may need to withdraw monies for a mortgage etc.

It's calculated on a daily basis.

2) What happens to the money in my NS&I account if I decide that I'd prefer to open an ISA with Barclays at 6.5% for 07/08? Added to this if the money left in my NS&I account accrues interest in 07/08 is this classified as active? If it does not count as being active (does active mean the account you pay your 3k in to?) Finally is it actually worth all this hassle for what would probably be a little over 20 quid - would it be better just keep it simple and stick with NS&I - what are the pros and cons in my situation?

Interest has no effect on ISA allowances and such. It's up to you whether you think it is worth the hassle - how valuable is your time? Also consider that rates could change quite quickly and you might find the best account now may not be in just a few months.

wotless

Cheers Masonic I think I'll stick with NS&I...I can't be arsed with the hassle plus like you say if interest rates go up the difference would be negligible - I needed to hear it from someone with a bit of knowledge, Nice one.

frivolous_fay

Hello,

Just been looking at the deals on offer. Thinking about the Northern Rock fixed rate deal, had a scan of the T&Cs. It says there is a charge for withdrawals which is detailed in the 'application pack' (but not in the T&Cs... why??)

Can anyone shed any light on this mysterious charge?

For the record... I'm looking to move two A&L 6.1% ISAs, approx. 16k and 6k. We are almost certainly going to need to withdraw all this money at some point in the 2007-8 financial year. (House deposit)

masonic

Charges (and interest rates) aren't normally listed in T&Cs, but they ought to be listed on their website somewhere. I would question whether a fixed rate deal is right for you, though, if you know you can't keep the money there for the whole of the fixed term. If your money isn't there for long, you could end up worse off than if you had gone for an easy access account.

Edit: From their website...

The Fixed Rate ISA is intended as a longer term deposit. However, you can still take money out without notice (minimum £250) subject to a loss of interest on the amount withdrawn (charge equivalent to 60 days' for the 1 Year Fixed Rate ISA & 150 days' for the 4 Year Fixed Rate ISA). You can request a withdrawal only through our Head Office by simply sending us your written instructions. We'll send you a cheque by first class post. In the interests of security, this can only be sent to the address held on our records.