Should I close ISA?

scottishgirl87

I'm a bit confused - I have an ISA with Bank of Scotland which has recently reverted from 3% interest to 0.25% and I'm not sure what to do with it. There's a good chance I will want to use all of the money in it within the next 6 months so I'm thinking I may be better transferring the money to the Current Account I have with them which has Vantage added (3% monthly before tax).

Am I missing anything here? I know I could transfer it to another provider but when I may be using the money soon and the top ISA on MSE is 2.6%, earning interest monthly on it seems a better option?

latecomer

IF you are likely to use then I'd put it in your current account. If you end up not spending it you could pay it back in to your ISA before the end of the tax year if you haven't used up your allowance.

scottishgirl87

latecomer wrote: »

IF you are likely to use then I'd put it in your current account. If you end up not spending it you could pay it back in to your ISA before the end of the tax year if you haven't used up your allowance.

Never even thought of that, so thanks! I'll maybe convert my ISA to one of their 1.something% ISAs and leave a small amount in it but transfer the rest into my current account.

pplchamp

Avoid withdrawing the money from an ISA account even though you may need it soon. Instead, transfer it to an easy access ISA.