Tell us you cash ISA questions

jimjames

SpekySquarehead wrote: »

I am a complete novice to all this and I think there is some legislation that doesn't allow 2 ISA's?

There is. You cannot have 2 ISAs of the same type in a year but can have a cash ISA and a S&S ISA. Other types of account are not an ISA though so you can have as many as the provider will allow.

eskbanker

jimjames wrote: »

There is. You cannot have 2 ISAs of the same type but can have a cash ISA and a S&S ISA.

You'll know this already but for the benefit of others, you can have as many cash ISAs as you want, but can only pay new money into one of these in any given tax year (unless with a split ISA provider).

vision2009

Can i close a cash ISA and put money into a current account? less than £3000
Interest rate of 3% in current account beats the 1.4% ISA rate Ive seen
Thank you

eskbanker

vision2009 wrote: »

Can i close a cash ISA and put money into a current account? less than £3000
Interest rate of 3% in current account beats the 1.4% ISA rate Ive seen
Thank you

Yes, you can - if it's a fixed rate fixed term product then you might face early withdrawal penalties but go ahead, worth doing, especially if you put it into one of the current accounts paying more than 3%!

curriej99

Hi - I'm looking at the State Bank of India's 2.6% fixed rate ISA.

My question is : If I put in the 15k in yr 1 and then another 15k in year 2, is the year 2 15k subject to a further 5 years to get the full 2.6%, or is it only subject to the remainder of the term ie 4 yrs?

So if I put in another 15k in yr 4, do I only have to wait 1 year to get the full 2.6%?

I suspect the latter is true, but I can't seem to verify it anywhere.

Thanks

jimjames

vision2009 wrote: »

Can i close a cash ISA and put money into a current account? less than £3000
Interest rate of 3% in current account beats the 1.4% ISA rate Ive seen
Thank you

For under £3000 you can get 5%, even better still!

jimjames

curriej99 wrote: »

Hi - I'm looking at the State Bank of India's 2.6% fixed rate ISA.

Fixed rate ISAs tend to have very limited windows to put money in. It's very unlikely that it will be available in 2 months let alone 2 years.
If you're looking at tying money up for such a length of time would it be worth looking at investments instead for part of it?

curriej99

jimjames wrote: »

Fixed rate ISAs tend to have very limited windows to put money in. It's very unlikely that it will be available in 2 months let alone 2 years.
If you're looking at tying money up for such a length of time would it be worth looking at investments instead for part of it?

Ah right so you're saying that the 2.6% might only apply to my year 1 contributions? Does this mean that on my yr 2 15k i might get a lower rate?

Are you sure of this? I'd have thought that once i'd initiated the product, any funds i added to it in within the fixed term would be subject to the same rate for the remainder of the term. Is this not so?

BTW, i'm very wary of investments in the current climate. I anticipate a huge crash sometime soon. My feeling is I'd rather stay on the safe side.

Thanks for the quick response, btw...

jimjames

curriej99 wrote: »

Are you sure of this? I'd have thought that once i'd initiated the product, any funds i added to it in within the fixed term would be subject to the same rate for the remainder of the term. Is this not so?

Check the terms of the product but generally it's not. I'm not aware of ones that allow unlimited additional payments at the same rate but maybe there are some. It's not something that I use myself so probably safest to check to find out.

vision2009

jimjames wrote: »

For under £3000 you can get 5%, even better still!

Haven't seen the 5% jimjames, i was looking at tesco bank.
How do i get the 5% please?
Need to put it in current account where no monthly pay in is required, as is the case with tesco bank i believe.
Thanks