Help to Buy ISA guide

eskbanker

ianwalshuk wrote: »

Hi Masonic,
Just looking to confirm, do you know where this is referenced or stated please, or is this in your opinion?
Thx

See the HMRC guidance notes for ISA managers at https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/512781/ISA_guidance_notes_April_2016.pdf, and in particular the eligibility criteria in section 3.1:

To be eligible to subscribe to an ISA an investor must
[...]
be resident in the United Kingdom or, if not so resident, be performing duties as a Crown employee serving overseas and paid out of the public revenue of the United Kingdom (typically a serving member of the armed forces, or a diplomat), or be married to, or in a civil partnership with, such a person

masonic

Stuart788 wrote: »

So disappointed that they require you to get a mortgage to get the bonus! Nice of the government to be encouraging people to get into debt.

I've worked hard all my life why am I any less deserving of the bonus than someone who needs a mortgage.

pinkfluffybabe wrote: »

Maybe because it's to help people to get onto the property ladder. If you can afford a house without a mortgage then you don't need government help.

Remember that it is money from other taxpayers, many of whom will be in a much less fortunate position than someone who can buy their first home without a mortgage. The Government is right to put in place measures that avoid transferring money from poorer to richer people. Some might say they haven't gone far enough in this case.

So, pinkfluffybabe is right, you are less deserving of the bonus because you don't need it. Just like you don't qualify for, and don't need, other state benefits. But in this case, you are able to fiddle the system and get the taxpayer money that you don't need simply by taking out a mortgage that you don't need. If you don't want to do that, thumb your nose at the system and buy a house outright with your accumulated savings and feel extremely smug that most people in the UK could only dream of being in your situation.

MattGb

Is it true that they are rolling out Help To Buy ISA's for equity products?

Strummer22

MattGb wrote: »

Is it true that they are rolling out Help To Buy ISA's for equity products?

Not that I've heard of. Cash only.

The Lifetime ISA is planned to be more flexible and allow you to invest it in stocks & shares.

MARTYM8`

pinkfluffybabe wrote: »

Maybe because it's to help people to get onto the property ladder. If you can afford a house without a mortgage then you don't need government help.

And some might say if you can afford to pay £450,000 for a property in London with or without a mortgage you don't need taxpayer help at a time of austerity.

pinkfluffybabe

MARTYM8` wrote: »

And some might say if you can afford to pay £450,000 for a property in London with or without a mortgage you don't need taxpayer help at a time of austerity.

And I'd absolutely agree with them. Any government help should be for those who otherwise can't get onto the property ladder to a starter home. In my mind £450k isn't that. I don't make the rules

brit1234

Help to Buy Isa scandal: 500,000 first-time buyers told scheme cannot be used for initial deposit on homes

The Government’s much vaunted Help to Buy Isa was on Friday described as a “scandal” after it emerged that first-time buyers will not be able to use it for an initial deposit on their new home.

http://www.telegraph.co.uk/news/2016/08/19/help-to-buy-isa-scandal-500000-first-time-buyers-told-scheme-can/

With saving rates so bad I really thought the Help to Buy ISA would help a little with all the interest on my housing deposit. However now I find I can't use the H2B ISA bonus for a house deposit despite all the banks and government advertising. I feel really mislead.

pinkfluffybabe

brit1234 wrote: »

With saving rates so bad I really thought the Help to Buy ISA would help a little with all the interest on my housing deposit. However now I find I can't use the H2B ISA bonus for a house deposit despite all the banks and government advertising. I feel really mislead.

Had you never read MSE's Help to Buy ISA Guide? It tells you in there.

Raramaster

Hi.
When I first read this post months ago, I missed out the part about the minimum £1600 to start getting the bonus.
I currently have £650 in my H2B ISA and £600 in another savings account.
Thinking of the 3 month rule, is there anyway I could shut down my H2B ISA, open a new one with another provider and put all my savings into that one?
I hope that makes sense.
TIA

anewloginapparently

The Telegraph article has confused and worried me.

So can I not use my help to buy ISA for a deposit (which is the purpose of which I'm saving in it). I don't have any other savings vehicles and no access to the bank of Mum & Dad so I was hoping to save about £6000 into my ISA which would then give me a £7500 deposit on a £75k flat with the bonus.

Is this not how it works? Do I need to save a separate £7500 deposit and the help to buy ISA is just for moving expenses?

Or is it that I'll have a £6000 deposit and get a £1500 bonus after I've exchanged for moving expenses?

I'm confused as hell and that article really isn't clear? But now I'm worried I've put all my eggs in the wrong basket.