ISA consolidation - at a price?

masonic

There's no reason why you can't consolidate all your old ISAs, then open the top payer for this year. That would only mean you had 2 ISAs, which would still be an improvement.

debbie42

cordial wrote: »

I've seen it mentioned more than once on this forum that people have decided to consolidate all their 'mess' of previous years' ISAs into one with a new provider who accepts tranfers in.

I can't imagine why anyone would move from a higher rate to a lower rate ISA just to tidy up the accounts.

bristolleedsfan

debbie42 wrote: »

I can't imagine why anyone would move from a higher rate to a lower rate ISA just to tidy up the accounts.

people can transfer their isa to a higher paying isa ( eg kent reliance building society), just that often people cant transfer their isa to the very highest paying isa because the highest paying isa often doesnt accept transfers in. ( e.g egg isa)

https://new.egg.com/visitor/0,,3_94358--View_2074,00.html

http://www.krbs.co.uk/directisa.aspx

im not sure if national counties BS allow transfers in or not

http://www.ncbs.co.uk/ncbs.asp

debbie42

bristolleedsfan wrote: »

people can transfer their isa to a higher paying isa ( eg kent reliance building society), just that often people cant transfer their isa to the very highest paying isa because the highest paying isa often doesnt accept transfers in. ( e.g egg isa)

I appreciate that: my ISA was recently transferred to the ybs. If the NS&I had accepted transfers then it would have moved there.

alared

The top payers are all one hit wonders which don`t accept transfers in because they don`t want to pay the top rate on ALL your money.

The only consistant top payer that DOES accept transfers in and have followed the BoE rate rises almost to the letter is:

Kent & Reliance Building Society.

Current rate on ALL your money 6.21%

Gordon_the_Moron

6.21%, most of my money is there with £3000 in Barclays Tax Beater Cash ISA, I try to keep my money together as far as possible but if it was a choice between splitting it and getting better interest or consolidating it I'd go for the better interest.

Da Moron

emphatiC_hanK

Gordon_the_Moron wrote: »

6.21%, most of my money is there with £3000 in Barclays Tax Beater Cash ISA, I try to keep my money together as far as possible but if it was a choice between splitting it and getting better interest or consolidating it I'd go for the better interest.

Da Moron

I now can't see the appeal of consolidating all your Cash ISA's into a single account. In fact I want to do the opposite, as at some point in the future, the savings in a single account could pass the threshold beyond which they are covered by the Financial Services Compensation System.

Unfortunately many providers, mine included, don't allow partial transfers, which is something that the government should really look at in terms of overall ISA legislation.

MiserlyMartin

Very good point agreed. I bet theres a lot of us with ISA's approaching the 33K mark. It is annoying that quite a few don't do partial transfers.

twinklie

I'm quite interested in this whole idea. I'm very new to the whole ISA concept and a little dumb about it all. I have an NS&I mini cash ISA.

Now the confusion comes for me when we get to the end of this year. What happens? Do I just choose which ever ISA I want (eg, highest interest) and start paying into that one?

If I do that does my NS&I one (assuming the new one doesn't accept transfers) keep gainning interest? Or is that account now dormant? I have been thrust into this whole ISA thing with little guidance (thanks dad)!

Any help or explaination would be massively appreciated.

Ian_W

Hi twinklie,
You'll find the answer to your questions on the sticky HERE - the clue is that it's called - FAQ's!

Your ISA keeps paying interest and if NS&I are still a top payer you can just pay them the increased ISA cash allowance of £3600 or you can open a new one and either transfer [if your new provider allows it] or keep the old one going.

Gordon_the_Moron

MiserlyMartin wrote: »

Very good point agreed. I bet theres a lot of us with ISA's approaching the 33K mark. It is annoying that quite a few don't do partial transfers.

Easy answer, look for an ISA that accepts transfers in and allows partial transfers (regardless of interest rate, that doesn't matter for the amount of time it will be in there) then split it from there to wherever you want to put it.

Da Moron