Help to Buy ISA guide

bowlhead99

Jampa9 wrote: »

Alright fella, chill out, I'm just telling people of my experience.

Yeah, I know that - and thanks for coming back to let us know how it worked out, plenty of people don't bother. I'm just telling people how it works...

deutsch

i've read a recent news article nationwide are increasing their htb isa by 0.5% but it doesn't say when.


their own website hasn't updated it yet and still shows 2%.


anyone any ideas?

eskbanker

deutsch wrote: »

i've read a recent news article nationwide are increasing their htb isa by 0.5% but it doesn't say when.


their own website hasn't updated it yet and still shows 2%.


anyone any ideas?

31 August, according to https://www.nationwide.co.uk/about/media-centre-and-specialist-areas/media-centre/press-releases/archive/2018/8/06-bank-rate-increase:

Nationwide will pass on the following rate changes to savers from 31 August and to borrowers as of 1 September 2018. These changes include:

Savings:

• For those saving for a first home of their own, the Help to Buy: ISA will be increased to 2.50%

deutsch

I have a HTB ISA with Halifax and a LISA with AJ Bell.
If I transfer the HTB Halifax ISA to Nationwide's HTB ISA and continue paying £200/ month, will this affect the LISA allowance? This is for the tax year 2018/19 where I have not paid anything yet into the LISA, but have continued to pay £200 to halifax's HTB ISA.

Alexland

deutsch wrote: »

I have a HTB ISA with Halifax and a LISA with AJ Bell.
If I transfer the HTB Halifax ISA to Nationwide's HTB ISA and continue paying £200/ month, will this affect the LISA allowance? This is for the tax year 2018/19 where I have not paid anything yet into the LISA, but have continued to pay £200 to halifax's HTB ISA.

You are fine to contribute to both the HTB ISA (which is a type of Cash ISA) and the LISA in the same tax year up to the individual product maximums. In addition the ISA transfer process will not use any more of your current year's contribution allowance. Be aware you can only use either the HTB ISA bonus or the LISA account towards a property purchase - not both unless you want to pay the LISA early withdrawal charge.

Alex.

katybobatie

Hey!
This was all really useful thanks!
My partner and I have one help to buy isa between us - it’s in his name, but I obviously just pay into it via him.
Anyway, my parents recently gave me £4k contribution and I’m just wondering where I should put this until next year when we should have enough to buy our first house? I don’t want to open another help to buy isa. Can I open a normal savings isa in my name?

katybobatie

Hey!
This was all really useful thanks!
My partner and I have one help to buy isa between us - it’s in his name, but I obviously just pay into it via him.
Anyway, my parents recently gave me £4k contribution and I’m just wondering where I should keep this until next year when we should have enough to buy our first house? I don’t want to open another help to buy isa as we can’t really afford to pay into two. Can I open a normal savings isa in my name?

TheShape

katybobatie wrote: »

Hey!
This was all really useful thanks!
My partner and I have one help to buy isa between us - it’s in his name, but I obviously just pay into it via him.
Anyway, my parents recently gave me £4k contribution and I’m just wondering where I should keep this until next year when we should have enough to buy our first house? I don’t want to open another help to buy isa as we can’t really afford to pay into two. Can I open a normal savings isa in my name?

Why can't you afford to pay into another HTB ISA? Haven't you just been given £4k?

katybobatie

We can't really afford £200 each at the moment. We've got another few personal commitments.
Anyway, what I needed some help with was what I can do with this other money. Can I open a Cash ISA? I'm reading you can't have both open at once. The cash isa would be in my name, and the help to buy ISA in my partners name.

eskbanker

katybobatie wrote: »

We can't really afford £200 each at the moment. We've got another few personal commitments.
Anyway, what I needed some help with was what I can do with this other money. Can I open a Cash ISA? I'm reading you can't have both open at once. The cash isa would be in my name, and the help to buy ISA in my partners name.

£200 is a maximum monthly payment into a HTB ISA, not a minimum!

You don't have to pay anything into a HTB ISA in any given month, so I'd echo the advice above and get another one opened, you won't beat the 25% uplift anywhere else.... In your shoes I'd get it funded with the maximum £1200 in the first month and then add to it as and when you can in subsequent months, making sure that you get £1600 into it (even if that means diverting contributions to the other one) by the time you buy.