Help to Buy ISA guide

Archi_Bald

The limit is the purchase price of the property. https://forums.moneysavingexpert.com/discussion/5374614

dannylfc_1

Slightly fiddly question...but

1. I have already paid into Cash ISA and S&S ISA this tax year (yes boohoo but it happened)

2. I have 5k of my allowance left and I want to open H2B asap. Consequently, I must open a split one, probably the Aldemore, at least until the new tax year when I can open up a straight H2B ISA and not have a split...

BUT - say in April 2016 I transfer to the top paying H2B ISA. What happens to my funds from the cash ISA? Currently 35k. Is that just returned to me in cash? And so if I want to keep contributing to the H2B ISA, I must give up my cash isa completely? I don't like the idea of not having a cash isa whatsoever. Because then in the future (when rates rise etc and everyone wants tax free savings) when I want to open up a new one I will only be allowed to put in around 15k a year and have to start from 0? Losing out on all the compounding of the previous years.

Is that right?

Many thanks all

jimjames

ponchoman wrote: »

However not everyone has £50K to invest, i certainly wish i did. Lower level deposits will generally not attract the best rates available,

It's actually the complete opposite of what you're saying so you're wrong and potentially missing out.

Lower deposits get the highest rates of interest. On £1000 I can get effective interest of 12.5%. The higher your balance the more difficult to get high rates.

Archi_Bald

dannylfc_1 wrote: »

Slightly fiddly question

You can do, straight away:

• leave you previous years' ISA alone
• withdraw all your current year cash ISA subscription(s) and put the money into the better accounts. This will take £50Kish
• open the Halifax HTB ISA

You are right, if you insist on subscribing to a normal cash ISA alongside the HTB ISA, you must have a split ISA.

MeredithFord

Hello,

I'm trying to find out if it's possible to transfer between H2B ISAs once you're up and running. I.e. if I open one with Halifax, and then the variable rate makes it less attractive than another option, am I able to transfer the full balance of the ISA without affecting my bonus amount? I understand there may be some withdrawal penalties separate to this.

Thank you,
Meredith

colsten

There is a dedicated site for the HTB ISA scheme. http://www.helptobuy.gov.uk/help-to-buy-isa/how-does-it-work

isingh1

Apologies if this has been asked before. But could you just essentially use this as another form of savings?
I have no intentions of buying a house in the next 5 years or so. But can this be used as a regular savings in essence, as many people have said 4% tax free on your savings is a lot better than probably ALL the cash ISA's at the moment.

The obvious idea applies that you need to be alert to know if the rate will drop etc - But could you not just essentially let your pot grow on the 4% for however long Halifax keep it at 4%?

Thanks

jamesdean1987

In January im looking at opening an HTB ISA for myself and my wife is going to open one in her name but the question I want to ask is can I put money from my normal account into my wife HTB ISA account if she doesn't have the full £200 for that month?


Thanks

jimjames

isingh1 wrote: »

The obvious idea applies that you need to be alert to know if the rate will drop etc - But could you not just essentially let your pot grow on the 4% for however long Halifax keep it at 4%?

Thanks

You can.
But you can do much better than 4% on £200 per month.

jansel

Can someone clarify whether my daughter will be eligible for the 25% bonus if the purchase price of the property she is planning to buy in London is over £450K ?
Thx