Isa transfers

davidshads

Hi
I have started saving in a new isa for 2014/15 and have a couple of old isa's that I want to transfer which amount to £11000.
If I transfer these can I still save the full amount £5940 into this years allowance.
Thanks

bowlhead99

You're a bit behind the times now because the 'full amount' for this year's allowance went up to £15,000 with effect from 1 July. That's the total amount of NEW money you can put into an ISA before the end of the tax year and then you get another allowance of £15,000 for next year's NEW money.

Old money that was contributed into a cash or S&S ISA in a previous year has absolutely no effect on your current year limits. So you can transfer your £11k into your current product (if they accept transfers in) or into anyone else's product, without any effect on this year's allowance, because this years allowance is only how much NEW money you're putting in.

You just need to make sure that the £11k moves as a transfer, arranged by the new provider, rather than manually taking the cash out yourself to your own bank account and then re-contributing it (because that would then be seen as 'new' money going in).

jimjames

If your total is £11k plus £5k of new money then you may get a better rate just closing the ISAs and opening a new one as most of the best rates don't allow transfers in.

You can even do better than ISAs with current accounts but if you want to stick with them the new limit makes it much more flexible.

davidshads

Thanks for your replies