Help to Buy ISA - Meh

macman

So put the £200 per month in to the ISA and the other £800 into other relatively high-interest investments.The fact that the ISA is limited doesn't make it a bad investment, it's vastly better than anything else on the market given the bonus and tax fee status.The first month you can deposit £1200.

GwylimT

JamesFews wrote: »

If you look on the website it clearly states that you can only put in a maximum of £200 a month into this ISA. So therefore to get the maximum 3k bonus you would need to be putting into that ISA for 5 years.


And to the negative posts and sarcasm....grow up.

You can however open it with £1k which decreases the time needed if you save £200 per month.

Voiren

It's worth doing even if you only have the money in there for the minimum 3 months (ish, depending on your dates) to get the bonus - £1200 + £200 + £200.

Put the rest of your money in the other high-interest accounts. The longer it takes you to actually buy a house after that, you continue to get the bonus. You don't need to wait for the maximum bonus.

csgohan4

It's free money, still worth it even in the short term

AlistairM

As the plan finishes in 5 years I wonder if you'll get a housing price spike as people with more money than they would normally have all start buying houses at the same time.

JamesFews

agrinnall wrote: »

Well as you haven't told us which provider it is we'd have to be clairvoyant to know the specific T&Cs.

That's standard no matter what provider you go with as its a government incentive...from what I have seen so far anyway.

MrJB

I couldn't disagree more, partner and I opened our Help to Buy ISA's in December - looking to purchase in march. We put in 1200 in December then £200 in Jan and will put a further £200 in Feb and March which will give us an additional £900 combined towards our house. It took me around 5 minutes to sign up for the ISA...

JamesFews

Thanks to the helpful people, I will do the split thing.

JamesFews

MrJB wrote: »

I couldn't disagree more, partner and I opened our Help to Buy ISA's in December - looking to purchase in march. We put in 1200 in December then £200 in Jan and will put a further £200 in Feb and March which will give us an additional £900 combined towards our house. It took me around 5 minutes to sign up for the ISA...

Yes its really good when there are two of you, seems a lot more worth it. Unfortunately I am recently single, hence why all this is happening.

makeitstop

JamesFews wrote: »

That's standard no matter what provider you go with as its a government incentive...from what I have seen so far anyway.

Yes exactly, it's an incentive.

There is no rule which states that if people are able to save "X" amount, that the government should add some sort of bonus to that saving, and even less so on a sliding scale dependant or relative to the amount anyone is able to save. This scheme is going to help some, and perhaps not so much others, but as has been pointed out, it's free cash, whichever way you look at it.

The fact that it's not paying you enough, (for what you'd like) quickly enough, doesn't make it a bad choice. It's still FREE MONEY.

If it's not for you, then don't go for it and make alternative plans.