Help to Buy ISA guide

michaels

Close and re-open H2B ISA as missed out on Month 1 £1200 by mistake?

A relative opened their H2B ISA last month and didn't realise they had to put the month 1 £1200 in during the first calendar month not the first 30 days.

Can they start again by closing the existing H2B ISA and opening a new one and paying in £1200?

Kateod

I know this has been mentioned many times on here but I am still confused and can't get my head around where the government bonus (currently £1000 between 2 of us) goes. On here it reads that it goes towards the mortgage amount, but Halifax and money advise service have told me it goes to the deposit (10%). I am a first time buyer so i find the whole thing really confusing anyway, I just want to know, do we give £1000 less when we transfer our deposit, OR do we borrow £1000 less from the mortgage provider? If it's the latter, that means speaking to the mortgage provider and changing the mortgage amount to less, is that correct? as otherwise we will be paying interest on the £1000 that was supposed to be free.

Really confused, hoping someone can explain in simple terms

thank you :T

marsamania

Hi, Could anyone help.

I opened a Help to Buy ISA Dec 2015 when it was released and I have continued paying into it every month into the new Financial year 2016 in April 6 on wards.

I have a previous Cash ISA with another bank which I didn't pay into last year as I knew I wanted to open a help to buy ISA.

My question is: Now Its 2016, can I start paying into my old Cash ISA again, or could I not do that with still paying into my Help to Buy ISA? (although I did open the Help to Buy Last Year?)

Just a little confused by the guide as it says you can't open a cash isa and a help to buy in the same year, but I opened the the HTB isa last year.

Thanks

Archi_Bald

marsamania wrote: »

My question is: Now Its 2016, can I start paying into my old Cash ISA again, or could I not do that with still paying into my Help to Buy ISA? (although I did open the Help to Buy Last Year?)

You can, provided that both your ISAs are with a split ISA provider. Otherwise you can't.

You are not likely to get the best interest that way. Look at current accounts / regulars savers that pay up to 6%.

riyaz_7

Hi


I am confused! Me and my partner are looking to buy a property together in the next couple of years. My partner is not eligible - already owns a property.


Is it possible for me to get a HTB ISA in my name as I have never owned a property?
If we get a joint mortgage would we still get the 25% bonus bearing in mind only one of us is eligible for HTB ISA?

eskbanker

No need to be confused, this thread was intended to be specifically about the MSE article on HTB ISAs and if you read that, it answers your question (point 4 of the need-to-know questions).

Preshy

Hi, following MSE advice opened my HTB ISA in December. We've recently bought our first home, though as outside if London (only just) it didn't fit into the requirements to have Gov money. As 4% is still good for saving can I continue to save in there or not, understanding I'll not get any Gov money, obviously? As Halifax hasn't told me not too...not that I've contributed since March as just bought our home. Can anyone help? Thank you

colsten

Preshy wrote: »

Hi, following MSE advice opened my HTB ISA in December. We've recently bought our first home, though as outside if London (only just) it didn't fit into the requirements to have Gov money. As 4% is still good for saving can I continue to save in there or not, understanding I'll not get any Gov money, obviously? As Halifax hasn't told me not too...not that I've contributed since March as just bought our home. Can anyone help? Thank you

You could look into transferring your money into a Lifetime ISA next financial year and get 25% government bonus. You'd have to keep the money to one side until you are 60, though, or pay penalties for withdrawing earlier.

You can alternatively continue with the HTB ISA and take the money out when you need it.

A further alternative is to put it into 5% and 6% current / regular savings accounts. Depending on your tax rate and the total amount of interest you earn, the interest earned might well be tax free as well.

Tredbottom

Hi All

I am after some advice. Myself and my partner are looking to purchase a property at auction with a mortgage (90% LTV).

If we win the auction we will have to put 10% down on the day. Sould the money come from the HTB ISA account? How would i get the extra 25%?

Many Thanks

shorty2240

Something that I think is worth knowing before you start is how long it can take to get the process rolling at the end.

1) my solicitor didnt know how it worked
2) the vendors went from radio silence to wanting to complete in just over 3 weeks
3) I called Halifax immediately to close, the send you a form (3-5 business days, it took 5)
4) return the form, account closed 3 working days later
5) They send out the closure letter, another 3-5 business days.
6) You have to provide that letter and a First Time Buyer declaration form to your solicitor no fewer than 5 days before completion.

I'm still waiting on the letter to arrive and completion is on the 25th of this month.