What to do with remainder of this year's ISA allowance

TomsMom

I have an old ISA which I added the then limit to in April this year, i.e. £5,940. I had to reactivate the ISA as I didn't add to it last year.

I'm now in a position to put away the remainder of the now £15,000 allowance, i.e. £9060.

Can I open a new, better rate NISA with another provider with this £9060 (and then transfer the old one into it)? Or do I have to add it to the old one and then transfer everything in that one to a better rate one if I wish?

Vortigern

TomsMom wrote: »

I have an old ISA which I added the then limit to in April this year, i.e. £5,940. I had to reactivate the ISA as I didn't add to it last year.

I'm now in a position to put away the remainder of the now £15,000 allowance, i.e. £9060.

Can I open a new, better rate NISA with another provider with this £9060 (and then transfer the old one into it)?

No, you can't do that.

do I have to add it to the old one and then transfer everything in that one to a better rate one if I wish?

You could do that. Alternatively, do the transfer first, then top up.

pem2

You can only add to the new reactivated one and then transfer if you wish, or else you would be funding two cash ISA's this year.

TomsMom

Vortigern wrote: »

No, you can't do that.




You could do that. Alternatively, do the transfer first, then top up.

OK, that's great. Many thanks for clearing that up for me. Off to find a better rate now .

TomsMom

pem2 wrote: »

You can only add to the new reactivated one and then transfer if you wish, or else you would be funding two cash ISA's this year.

Thank you. I will add to the old one straight away just to get the money put away. I'll then find a better rate and transfer .

colsten

I would take my chances and keep any spare cash in a good interest paying current account, and then check late next March what is available in terms of cash ISAs. I don't think the cash ISA rates and offerings will be much different then but at least I would have made decent interest between now and then.

TomsMom

colsten wrote: »

I would take my chances and keep any spare cash in a good interest paying current account, and then check late next March what is available in terms of cash ISAs. I don't think the cash ISA rates and offerings will be much different then but at least I would have made decent interest between now and then.

I do understand what you're saying about interest paying current accounts but that's not what I want to do. Thank you for the advice though.