Help to buy ISA and savings account

SPUK12

Hi, I opened a current account and monthly saver with TSB in October last year and I want to keep that as holiday savings but also open a first time buyer savings account. Can I open both in the same tax year? On the TSB site monthly saver is separate on the list to the cash ISA so I'm hoping that means it's ok

Flobberchops

Yes, as long as you haven't opened or paid money into a cash ISA since 06 April 2015 you can absolutely open a Help to Buy ISA straight away.

The restriction of having only one account subscribed to per year only affects ISAs. Current accounts and savings accounts won't affect that at all.

SPUK12

Thanks! Great to know my monthly saver isn't classed as a ISA. There's one thing I've just thought about, I had a savings account with first direct early last year which I closed when I moved to TSB. I'm not sure if it was a ISA or not (I'll need to ring them and check) if it was a ISA do I need to wait until april to open my first time buyer account?

Plus

If by 'early last year' you mean before 6th April 2015, then you have no problems whatever type of account it was.

If it was after, and it was an ISA that you closed, then I think you can still deposit any remaining allowance in a new ISA. Assuming you paid in less than £13600 to the old account then that leaves enough space to open a HTB ISA this year.

SPUK12

I closed the account in October, there was only a couple of hundred in there so that should be ok then?

colsten

If the potential ISA was closed before you started saving into the HTB ISA, you'll be perfectly ok.

Just don't start another cash ISA whilst you are saving into the HTB ISA.