Tell us you cash ISA questions

markr180

Why do banks etc continue to offer more interest on a normal savings account, than a cash Isa. I.e a fixed rate 2 yr bond may offer 2.25% and yet a cash Isa 2 yr bond would only attract 2% interest from the same provider.

rajni56

Hi, I am new to this forum and have a question around Cash ISA. I currently have a Fixed Rate Cash ISA made up of all my old year ISA's which matures in June 2016 and I have a current 2015/16 Cash ISA. If I open a new Cash ISA for 2016/17 with transfer in facility and transfer my current 2015/16 ISA in to this and later on in June 2016 transfer my Matured Fixed Rate CASH ISA in to this same account and also put my current years allowance in to this same account so that all my ISA's are consolidated into one account by June 2016.


Thank you in advance for your help with this question.

badger09

rajni56 wrote: »

Hi, I am new to this forum and have a question around Cash ISA. I currently have a Fixed Rate Cash ISA made up of all my old year ISA's which matures in June 2016 and I have a current 2015/16 Cash ISA. If I open a new Cash ISA for 2016/17 with transfer in facility and transfer my current 2015/16 ISA in to this and later on in June 2016 transfer my Matured Fixed Rate CASH ISA in to this same account and also put my current years allowance in to this same account so that all my ISA's are consolidated into one account by June 2016.


Thank you in advance for your help with this question.

I think you're asking if you can open a new Cash ISA on or after 6th April into which you

1) arrange for your 2015/16 cash ISA subscriptions to be transferred

2) arrange for your 2014/15 & earlier cash ISA subscriptions to be transferred after the maturity date in June 2016

3) subscribe (pay in new money) of up to £15240 (less any paid into S&S or IF ISAs)

then the answer, in terms of ISA rules, is YES you can.

A couple of caveats - you must ask the new ISA provider to arrange the transfers for you. Make sure there is no time limit for transferring into the new ISA you open for that purpose. Typically, fixed rate/fixed term ISAs allow only a short period e.g 30 days for transfers to be made.

Goodshout

Hi,

I went to the bank (hsbc) for a bit of a financial health check, they offered to upgrade my ISA which I accepted but I realised that it was really low so started to look for a better deal. I've applied (today) for a 3year fixed term bank of Cyprus one at a better rate. But come home to find a letter from hsbc about the transfer from the old to their new isa.

It's struck me that there may be a limit on the number of transfers possible per year (It didn't occur that the hsbc upgrade could be considered a transfer). Is there a limit on transfers? What are the penalties? Should I be asking bank of Cyprus to wait until next week until we're fully in the new financial year before switching?

colsten

There is no limit on number of ISA transfers.

rajni56

Apologies for not clearly putting my question in and thank you for the reply that has been helpful to me. One other follow up question is that if I consolidate all my existing old ISA's as suggested earlier in my question and there is no time limit for transferring in old ISA's into my new ISA account then can I mid-year transfer some more of my old ISA's into this new account?

Form reading earlier posts I think I able to do this but just want to be clarify my understanding, which is, "one can make as many old ISA transfers as one likes as long as the receiving account has no imposed time limit and that the ISA provider accepts the transfer in". Also am I right in understanding that I can move my old ISA to another provider anytime during the year.

colsten

rajni56 wrote: »

..... if I consolidate all my existing old ISA's as suggested earlier in my question and there is no time limit for transferring in old ISA's into my new ISA account then can I mid-year transfer some more of my old ISA's into this new account?

as long as the T&Cs of your new ISA do not impose any time limits, there aren't any. Instant access ISAs don't generally have any limits, whilst fixed term ones generally do.

rajni56 wrote: »

.Also am I right in understanding that I can move my old ISA to another provider anytime during the year.

yes you can, subject to the terms of the receiving ISA.

rajni56

Thank you for the answers now I need to sit down and workout what ISAs to open and where making sure I don't exceed 75K protection limit.

Thanks again, been a very useful forum.

badger09

rajni56 wrote: »

Thank you for the answers now I need to sit down and workout what ISAs to open and where making sure I don't exceed 75K protection limit.

Thanks again, been a very useful forum.

Have a look at the first few pages here.

Don't be put off by the apparent date - its kept up to date by the remarkable kazza, with help from other posters.

You might have to scroll down a little until you find one or more ISAs which fit your requirements.

https://forums.moneysavingexpert.com/discussion/401374

Michael_Douse

Is Castle Trust five year ISA at 3.4% a big risk or are they protected?