Santander ISA

vicki488

Hi All,

I currently have an ISA with my bank Santander. My partner would now like to open one with them too but he doesn't bank with them. This particular ISA has to be opened with £2500. Does anyone know whether I can pay that £2500 for him or whether it would have to come from an account of his own? Also as my ISA is now full I would also like to make monthly contributions to his. Is this possible or would I have to transfer the money into his current account and then he would have to transfer it to his ISA?

Thanks

xylophone

You don't say whether your partner is your husband - if so,there is nothing to prevent your giving any money you like to him and he can put it into his bank account and do what he likes with it.
If he is not your husband and you make him a gift then he can do what he likes with it but you might need to think of IHT considerations - see http://www.hmrc.gov.uk/inheritancetax/pass-money-property/exempt-gifts.htm.

There is nothing to prevent your making him an interest free loan (keep a written record of this) - he can do what he likes with it.

The money handed over must become his - you can't just use his ISA as an extra allowance for yourself.
To save complications it would be best for the money to go into his account first and then to the ISA.

McKneff

I presume you mean that you will now leave your ISA alone.

You really would be better transferring the money to him and then he can do the business. Just set up a monthly SO to his account and then set his up to go out to Santander. Not sure that if you did it your way it may be frowned upon.
Remember though, once the money goes into his account, whether it is the current account or the ISA, the money then legally belongs to him, you have no claim on it.
(lets hope he doesnt run away with the lodger.:D)