Special Cash ISA rules for people who withdraw due to RBS Group Computer Problems

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Taken from the MoneyVista web site, the info might help somebody and I couldn't see it posted when I searched:)



Important cash ISA news


Special cash ISA rules for those affected by the computer problems last summer at the Royal Bank of Scotland Group.
Written by Melanie Tynan on 18 February 2013


Did you have to withdraw money from your cash ISA last summer to tide you over during last summer's computer problems at NatWest, RBS and Ulster Bank?


The good news is that special cash ISA rules have been drawn up by HMRC to allow you to reinstate the amount you withdrew without affecting your annual ISA limit.

This applies to:

• customers who withdrew money from a NatWest, RBS or Ulster Bank cash ISA
• customers who withdrew money from a cash ISA with another bank or building society
• anyone who failed to receive payments from a third party and who withdrew money from their cash ISA as a result (for example, if your employer banked with RBS and you didn't receive your salary).

What does this mean in practice?
Under normal cash ISA rules you can pay in £5,640 a year (in 2012-13). If you pay in £2,000 and then withdraw £1,000, you can still only pay a further £3,640 into your account.
But those affected by the computer problems last June and July will be able to pay back in the amount they withdrew without it reducing their remaining cash Isa allowance or taking them over the cash ISA limit.
These examples from HMRC explain how it will work.
If you subscribed the maximum £5,640 to your cash ISA and then made a withdrawal of £100 because of the computer problems, you will be able to reinstate a sum up to £100 to your cash ISA.
If you paid in £2,000 to your cash ISA and then withdrew £100 because of the computer problems, you will be able to reinstate a sum up to £100 in your cash Isa and you'll still have a further £3,640 left of your cash ISA allowance.
In a nutshell the special rules put you back in the position you would have been in had you not had to take money from your cash ISA.
What do I need to do?
Don't wait to be contacted. The RBS group told us that they're not contacting customers about this because they can't identify who may or may not be affected.
Instead you need to contact the RBS group to explain how you were affected.
If you took money out of a cash ISA with a provider that wasn't RBS, NatWest or Ulster, you need to get a certificate from RBS to confirm you were affected. You should then give this to your cash ISA provider. Unfortunately it's down to your provider's discretion as to whether you'll be able to reinstate the amount to your account.
If you're a customer of RBS group, contact your bank on the following numbers:
NatWest 0800 051 4193; RBS 0800 051 4187; Ulster Bank 0845 301 4970.
If you're not a customer of RBS group, use these numbers:
NatWest and RBS 0800 051 4193; Ulster Bank 0845 301 4970.
Is there a deadline?
Yes, you have until 5 April 2013 to put the money back.
You have to put the money back in one go. If you put back less than you withdrew, you can't then top it up at a later date without it counting towards your cash ISA limit for 2012-13.