MSE News: Been a super-savvy ISA saver? Check you haven't hit savings safety limit

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Check how much you have in savings if you've taken advantage of your tax-free ISA allowance every year since 1999...
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Been a super-savvy ISA saver? Check you haven't hit savings safety limit

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  • Oblivion
    Oblivion Posts: 20,248 Forumite
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    Am I correct in assuming that NS&I ISA's are guaranteed over and above the £85,000 limit?
    ... Dave
    Happily retired and enjoying my 14th year of leisure
    I am cleverly disguised as a responsible adult.
    Bring me sunshine in your smile
  • CKhalvashi
    CKhalvashi Posts: 12,063 Forumite
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    Oblivion wrote: »
    Am I correct in assuming that NS&I ISA's are guaranteed over and above the £85,000 limit?

    As far as I'm aware, all NS&I savings are.

    I'm getting close to the £85k, so need to start looking into how to get around it.
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  • evenasus
    evenasus Posts: 11,861 Forumite
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    Just had a quick look at mine.

    Total now £107,062.19 but split over different providers.
  • vectistim
    vectistim Posts: 635 Forumite
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    And the more important question:
    If you've been dutifully filling a cash ISA every year for the past 15 years, why haven't you been using the stocks and shares option instead?
    IANAL etc.
  • CKhalvashi
    CKhalvashi Posts: 12,063 Forumite
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    vectistim wrote: »
    And the more important question:
    If you've been dutifully filling a cash ISA every year for the past 15 years, why haven't you been using the stocks and shares option instead?

    I've had an inconsistent income in the last 10, and have preferred to keep some accessible cash in an ISA, although haven't needed to touch it.

    I have also kept a large chunk of the remainder in S&S, however.
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  • evenasus
    evenasus Posts: 11,861 Forumite
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    vectistim wrote: »
    And the more important question:
    If you've been dutifully filling a cash ISA every year for the past 15 years, why haven't you been using the stocks and shares option instead?

    Personally, I am extremely risk averse.
  • jimjames
    jimjames Posts: 17,668 Forumite
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    evenasus wrote: »
    Personally, I am extremely risk averse.

    As I've said elsewhere, I don't think keeping long term money in cash for over 15 years is being risk averse but is not fully understanding risks. The FTSE may have fallen and risen over that time but even so you'd still be sitting on at least 60% increase and a more balanced portfolio would have done even better.
    Remember the saying: if it looks too good to be true it almost certainly is.
  • evenasus
    evenasus Posts: 11,861 Forumite
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    jimjames wrote: »
    As I've said elsewhere, I don't think keeping long term money in cash for over 15 years is being risk averse but is not fully understanding risks. The FTSE may have fallen and risen over that time but even so you'd still be sitting on at least 60% increase and a more balanced portfolio would have done even better.

    I took out a 5 year PEP with Marks & Spencer in 1997.

    Deposit in 1997....... £6000.00
    Maturity in 2002.......£5996.40

    They did deduct an admin charge of £3.60
    Fortunately, my capital was protected.

    This experience put me right off stocks & shares.
  • colsten
    colsten Posts: 17,597 Forumite
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    evenasus wrote: »
    I took out a 5 year PEP with Marks & Spencer in 1997.

    Deposit in 1997....... £6000.00
    Maturity in 2002.......£5996.40

    They did deduct an admin charge of £3.60
    Fortunately, my capital was protected.

    This experience put me right off stocks & shares.

    I think this just proves jimjames' point - it is a good example of not understanding the risks.

    Using a packaged S&S ISA such as the M&S or the Virgin one, carries an enormous risk of not performing as their investment strategy is not transparent and their charges are huge. Another big risk is the fixed 5 years - your packaged ISA may have come to an end right in the midst of a market downturn. Market downturn do happen, but based on historic data they don't matter to the committed investor.
  • evenasus
    evenasus Posts: 11,861 Forumite
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    colsten wrote: »
    I think this just proves jimjames' point - it is a good example of not understanding the risks.
    I did understand the risks.
    colsten wrote: »
    your packaged ISA may have come to an end right in the midst of a market downturn. Market downturn do happen, but based on historic data they don't matter to the committed investor.
    You're right there.

    My husband took out a PEP with M & S the year before I did. If only I'd listened to him and taken mine out at the same time instead of dilly-dallying.

    My husbands PEP
    Deposit in 1996....... £6000.00
    Maturity in 2001.......£8132.10

    Annual interest rate roughly 6.10%
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