Drip feed Cash ISA to Regular Saver

slhqoue

I have read the Money Saving Expert page on drip feeding savings from an Instant Savings account into a Regular Saver account in order to maximise interest.

However I only have savings in a Cash ISA and have recently opened a 6% regular saver account.

Would it make sense to drip feed the savings from the Cash ISA into the Regular Saver if I am unable to meet the maximum Regular Saver payments from my current account?

Many thanks!

mgarl10024

It would seem a shame, as once you take the money out of the ISA you'll lose the tax advantage (i.e. you can only put it into the ISA once). If you did this, you wont be able to use your whole limit for the year.

CLAPTON

if you don't have 15k to put in your ISA this tax year then yes you may would be better to drip fed in the 6% and then put that in the ISA when it matures
all depending upon exactly how much money you have to save in total

innovate

mgarl10024 wrote: »

It would seem a shame, as once you take the money out of the ISA you'll lose the tax advantage (i.e. you can only put it into the ISA once). If you did this, you wont be able to use your whole limit for the year.

It may not matter at all if you lose the ISA tax advantage, as CLAPTON described.

bigfreddiel

mgarl10024 wrote: »

It would seem a shame, as once you take the money out of the ISA you'll lose the tax advantage (i.e. you can only put it into the ISA once). If you did this, you wont be able to use your whole limit for the year.

We'll actually you can use your whole limit. Just because you take money out of your isa it doesn't prevent you from using your limit, you just won't have your whole Isa allowance in your Isa.

Cheers

fj