ISA opening mistake

blobbi

I opened a shares ISA with a particular company and put £100 into the account. This has not been invested. It was only at this point that I realised that they only accept minimum investments of £500 and so I would like to use a different company to invest on a regular basis. Am I allowed to open up an alternative, move this money into that account and then invest in that one or as I have opened this ISA am I stuck with it.

bigfreddiel

i guess you need to start a transfer and then start investing or stay where you are and wait another four months till you reach £500

what does one learn from this - read he rules,read them again and then re-read them one more time to be sure

fj

blobbi

Fair point, was more tunnel visioned about fees to be honest than the initial investment. I like a little more flexibility in my savings than that so maybe I'll open the other account and close the original one.
Thanks.

bigfreddiel

blobbi wrote: »

F maybe I'll open the other account and close the original one.
Thanks.

no that won't work you need to transfer your old one to the new one
-do not close it under any circumstances

read, read again a nd read once more the transfer rules to your new provider

in fact just tell us all who you went with originally and who your new one is

cheers

fj

blobbi

From: Charles Stanley (0.25% AMC) but £500 minimum for the funds I am interested in (clean class). They state no ISA transfer out fee.

TD Investing (0.35% AMC) and regular investing account. From what I can see no minimum amount to buy clean class funds bar the £50 per month. As I'm only investing small amounts, say £100 to £500 per month, this makes a little more sense to me.

AlwaysLearnin

Just check, as they may allow smaller amounts for regular investments. For example, at TD Direct the Vanguard LifeStrategy's are minimum £500 initial investment, but they allow as little as £50 via the regular investment acct

Edit: Ah, just saw your latest post. Looks like you've got it covered. Be aware, new platform fees coming in on TD Direct in August

bigfreddiel

AlwaysLearnin wrote: »

Edit: Ah, just saw your latest post. Looks like you've got it covered. Be aware, new platform fees coming in on TD Direct in August

correct 0.35%

i've built my own equity/bond fund using etf's - low cost, no platform fee and no stamp duty when buying etf's

fj

Crabman

I've moved this thread over to the ISAs sub-board

psychic_teabag

Does the account have a cooling-off period, and are you still within it ?

If you are a basic-rate taxpayer, I think ISA doesn't have that many advantages. One alternative might just be to invest outside ISA this year, then bed-and-ISA into next-year's ISA.

AlwaysLearnin

psychic_teabag wrote: »

If you are a basic-rate taxpayer, I think ISA doesn't have that many advantages. One alternative might just be to invest outside ISA this year, then bed-and-ISA into next-year's ISA.

As the pot builds an advantage of having within an ISA is not having to track capital gains and dividends for tax calc's. There are potentially cheaper ways to invest, but that convinience alone is worth a bit.

innovate

psychic_teabag wrote: »

If you are a basic-rate taxpayer, I think ISA doesn't have that many advantages.

I think they have huge advantages when, for instance, you become a pensioner. Anything that saves you tax must be advantageous, at any stage in your life.