Halifax Online ISA

jem16

My Dad has an old ISA earning around 0.01% interest! As usual the better paying ones are all online which he couldn't handle. He's quite happy to allow me to set it up and help him with access to it. Before I do so though how are withdrawals handled? He has no other accounts with them.

Deru

First off. DO NOT withdraw.

If you do, you lose the tax free status of the money. You need to TRANSFER.

Depends on which provider you wish to go with. If Halifax, you can redesignate the account to a new one with a better rate (this can be done online for some accounts). Otherwise, you would need to fill in the transfer form from a different provider.

anamenottaken

Deru wrote: »

First off. DO NOT withdraw.

If you do, you lose the tax free status of the money. You need to TRANSFER.

Depends on which provider you wish to go with. If Halifax, you can redesignate the account to a new one with a better rate (this can be done online for some accounts). Otherwise, you would need to fill in the transfer form from a different provider.

Whether one decides to withdraw or transfer can depend on the value of the existing ISA and whether the new year's ISA allowance will be used.

If the value of the existing ISA (including accrued interest) is less than the current year's allowance for new money (£5640) AND there is no likelihood of new money being added which would take this above the current year's allowance, then it doesn't matter whether it is a transfer or withdrawal which gets the money out of an 0.01% account.

McKneff

I have an Halifax online ISA and I'm getting 3%, its the easy access one.

The Halifax have to do the transfer for your dad.
I think they have to 'Redignate'.

I tried to do this on line, opened a new account to thransfer but the words were a bit ambigious.
On the very last page it said amounts 'about to be transgerred' then it said 'Are you sure you want to 'Withdraw' so it made me unsure.
So I cancelled and to be sure I went into a branch and they sorted it for me.

Never had any problems with Halifax, been with them donkeys years.

Now Santander - thats another story, dont touch them with a bargepole.

jem16

Thanks you for the replies.

His current ISA is with Barclay's and has around £12k in it so I don't intend to withdraw it. I intend to transfer it into the Halifax Online ISA.

My question is not about the transfer process. My question is once the transfer is completed and the Halifax ISA all set up, how does he withdraw money should he wish to for whatever reason.

badger09

jem16 wrote: »

Thanks you for the replies.

His current ISA is with Barclay's and has around £12k in it so I don't intend to withdraw it. I intend to transfer it into the Halifax Online ISA.

My question is not about the transfer process. My question is once the transfer is completed and the Halifax ISA all set up, how does he withdraw money should he wish to for whatever reason.

I've had a look this ISA but couldn't find a definitive answer to your question

As its purely online access, but you don't need a Halifax account of any kind to open or operate it, I can only assume that as part of the setup process, you have to nominate a bank account to which withdrawals are paid.

This is how a couple of my savings accounts operate .

jem16

badger09 wrote: »

I've had a look this ISA but couldn't find a definitive answer to your question

No neither could I hence my question.

As its purely online access, but you don't need a Halifax account of any kind to open or operate it, I can only assume that as part of the setup process, you have to nominate a bank account to which withdrawals are paid.

Halifax don't normally work this way but it's possible.

Thanks for your help though. There must be someone out there who has only an ISA with Halifax.

badger09

jem16 wrote: »

No neither could I hence my question.



Halifax don't normally work this way but it's possible.

Thanks for your help though. There must be someone out there who has only an ISA with Halifax.

You could try phoning them. But would you be able to trust the accuracy of their reply?

McKneff

I have an online Isa with Halifax, If I need cash I just normally transfer it to my current account and withdraw it from there at an ATM. They may well issue an ATM card with the Online ISA, I dont know as Ive always just done the above.

When I had an Online ISA with Santander (God knows why) i was issud with a card for ATM withdrawals.

Im going in tomorrow, I will ask while Im there.

badger09

McKneff wrote: »

I have an online Isa with Halifax, If I need cash I just normally transfer it to my current account and withdraw it from there at an ATM. They may well issue an ATM card with the Online ISA, I dont know as Ive always just done the above.

When I had an Online ISA with Santander (God knows why) i was issud with a card for ATM withdrawals.

Im going in tomorrow, I will ask while Im there.

Is your current account with Halifax? If not, how did you 'link' your current account with your Halifax Online ISA?

jem16

McKneff wrote: »

I have an online Isa with Halifax, If I need cash I just normally transfer it to my current account and withdraw it from there at an ATM.

As would I. However as I said he doesn't have any other accounts with them.

Im going in tomorrow, I will ask while Im there.

Thanks.