Top Toisas discussion

Former_MSE_Wendy

This thread is specifically to discuss the content of the

Top Toisas - Boost returns on your old Tessa money

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Milarky

Can you really 'split' a TOISA?

There is no need to stick to one – you can split your Toisa cash into a couple of different accounts if you choose to

As it's equivalent to 'past years' ISA subscriptions (which can be split) in theory 'TOISA-splitting' is permitted. But that begs the question of whether the provider sees it as a 'TOISA' or simply an 'ISA'

I've been looking at building societies lately and some appeared to be offering slightly greater rates (but still no great shakes) on 'transferred TOISAs'.

But whether or not TOISA splitting is permissable under ISA rules, it will always depend on the conditions made by the provider in accepting any transfer-in. The most common is to only accept a transfer in full (which most people will want to do anyway)

Where you have merged your TOISA in the past (i.e. mixed it up in the same account with other 'ISA-only' money by a transfer) it may be possible to request another transfer to a provider of just the TOISA subscribed capital. (Again, most people aren't going to want to do this.) Remember, though that the TOISA origins can ignored for all subsequent ISA transfer-out/transfer-in requests once the cash is in a mixed account.

One example of a poor attitude to savers is Nationwide. They administer TOISAs separately from ISAs in different accounts. But they also pay a lower rate of interest on balances under £9999. That's fine if you have an 'ISA' since the balance can be added to every year and eventually reach the higher rate tier. It's not so simple with an ISA though, where the capital was limited to an opening balance of £9000. The only way to get the highest 'TOISA' rate from Nationwide is to wait until the interest added pushes the balance above that point. [Bad Nationwide!]

jaxxx

My Newcastle Capital Safe ISA/TOISA matured in March this year and I chose one of the options they offered to transfer the money to which was their Fixed Rate ISA (6% gross). Could you tell me if this fund of money continues to be an 'extra' ISA allowance forever? Or will there come a time when I will not be offered another tax free product for it? Also would there have been a better product to move it to with another provider?

By the way, the original investment of £6354 made only £1170.20 interest over the 5 years. Not sure what this works out to as an average APR but it didn't seem that good based on the 88% of average growth - around 44% interest in their exampleat the time.

KTF

What do you mean by an 'extra' ISA allowance?

Milarky

KTF wrote: »

What do you mean by an 'extra' ISA allowance?

I Think I know - and the answer is 'yes': 'TOISA's are simply ISAs these days for the purposes of tax etc. They are therefore 'extra' to ISA allowances because they never relied on normal ISA subscription limits to be created.

grognon_lion

Hello,
I have a Tessa that has languished for some years with its administrator. They periodically buy shares to add to the overall value and deduct their charges from the accumulated profit.

I realise that I have not been particularly caring about this investemnt and need to be more proactive. I assume from the article that I have missed the window of opportunity to convert it into a Toisa. Therefore, could anybody advise me of my options?

Many thanks.

worldtraveller

I have a TOISA with IF and was trying to move it into a B&B Cash Isa (3). Their transfer form, as of today (01/06/08), clearly states that they cannot accept a TOISA transfer into one of their Cash Isa Accounts. I called their customer service department and they said that it's no problem at all! Why do I think that these idiots don't have a clue as to what they are doing! :rotfl: :rotfl: