Quick questions from someone new to the ISA world

altyfc

Hi all

I'm opening a Barclays 6.5% interest ISA, with the intention of putting in £3000 now, and a further £3000 come 6th April.

Couple of questions if you don't mind:

1) I read that I can have two ISAs... does this mean that I could put £3000 in one now, and £3000 in another. Or is, as I suspect, the £3000 a limit across both (eg. I could do £2k in one, and £1k in another, or some similar combination, but not £3k in each).

2) I recognise that the first £3k is tax-free, but can you actually put more than £3k into an ISA? For example, if I put £4k into this Barclays one (if I can do such a thing), am I right in thinking the first £3k wouldn't be taxed, and the next £1k would be? Or does it not work like that? If this is something that I can do, are the reasons for or against?

Thanks.

KTF

1) Its 1 ISA per tax year. 3K in 06/07 and 3K in 07/08. This has to be on 1 ISA only. You cant spread it between 2.

2) I think the tax free status is removed for the whole amount. Not even sure if they will let you put more than 3K into one per year to be honest.