Cash ISA Transfers, is this a 'new' account or not?

steamo

Sorry if this seems a bit obtuse but I have a query about Cash ISA transfers.

I did this some years ago and then the ‘new’ provider did all the work with no problems.

However, now I notice that a ‘new’ provider expects you to open as ISA with a zero balance before you can transfer in an existing Cash ISA.

Does this not mean that you can NOT then open another Cash ISA (with any provider) in that year as you have theoretically opened one already, albeit with a zero balance.

Have I missed something here?

TIA for any advice.

CJ

innovate

Transfers-in from previous years do not count as "subscriptions". You usually have to apply for the target ISA first since the transfer form does not contain enough information for a provider to create the target ISA. Some providers ask you to fill in an application form, some do it one the phone or in a branch for you.

Whatever you do, do not pay any new money into the target ISA. Any initial funding requirements will be satisfied by the transfer-in.

steamo

Thank you for your reply.
However, back to my original query, I'd be grateful if you can confirm that "opening a new ISA with zero balance in order to transfer in an existing cash ISA (and not topping up this transferred account) means that I can open a different Cash ISA with new money in the same tax year with another provider."
I'd like the belt and braces confirmation please!
Thanks again
CJ

Lokolo

Yes you can. The rule isn't "Open more than 1 cash ISA a year", the rule is that you cannot "Deposit new money into more than 1 ISA simultaneously in a tax year"