Halifax 4 year Fixed Rate ISA need to withdraw

Paulcumbria

We had an offer accepted on a house last week and consequently we will need to withdraw our money from the above ISA (4.3% savings over a fixed 4 year period). We put all our ISA's into this account last July and consequently have almost enough for the deposit for the house in this account.

If we withdraw it over the next few weeks it will have been in the Halifax for 1 year out of the 4. I know we will get hammered for the early withdrawal, but are getting conflicting reports. The local branch pleaded ignorance, the first customer services advisor suggested 180 days and the 2nd suggested 360 days interest penalty.

Any suggestions?

I also know we shouldn't have put it in a long term account!!! Didn't expect to move so soon.....

evenasus

On the Halifax current 4 year fixed ISA it says...

loss of 320 days’ tax free interest

opinions4u

It's clear on their web site.

http://www.halifax.co.uk/savings/accounts/cash-isas/isa-saver-fixed/

320 days before the first year is up. 270 days if you can get past that point.

You need to close entirely, or alternatively transfer out to another ISA provider. The latter is the route to take if you wish to preserve the tax free status.

EDIT: this only applies for accounts opened after 12th September 2011. I think it's 180 days for accounts opened before then.