Lifetime ISAs guide

greenglide

What is NOT useful is that Nationwide will definitely NOT be offering one

What never? No never! What never? Hardly ever! .......

The whole thing does seem complex compared to other ISAs and there isn't much time left to launch for April if all the finer details aren't set yet.

Rich2808

veryintrigued wrote: »

So The Times is wrong?

Would've thunk it.

This was listed as a possible budget announcement in an article on page 55 of the Times money section on Saturday - 'Hammond prepares to mount new pension raid'.

http://www.thetimes.co.uk/edition/money/hammond-prepares-for-new-pensions-raid-b8v95v8lp

Unless you have seen the Budget you don't know if it's true or not - it may just be speculation and probably is just that.

Over 40s vote too!

Pembsflyer

Ok got that, It is possible that I will buy in 2017 early 2018. Should I open Lisa with £1adding £1600 over the year, max out Htb £2400 in tax year 2017/2018, and transfer total Htb (if not bought) in March 2018. Thus gaining 4k in Lisa first year, leaving Htb available for purchase if it happens. End result is £4k+all Htb in Lisa by April 2018?

Rich2808

Pembsflyer wrote: »

Ok got that, It is possible that I will buy in 2017 early 2018. Should I open Lisa with £1adding £1600 over the year, max out Htb £2400 in tax year 2017/2018, and transfer total Htb (if not bought) in March 2018. Thus gaining 4k in Lisa first year, leaving Htb available for purchase if it happens. End result is £4k+all Htb in Lisa by April 2018?

Potentially - but I would wait to see what the Chancellor says on Wednesday as the scheme could change. The lack of well known providers at the start is embarrassing for the government.

bsanger

hi
Can I do both HTB and LISA?
HTB for house and LISA for pension?
so i contribute 2400 max for HTB and 4000 max for LISA in one tax year
thanks
bob

Ed-1

bsanger wrote: »

hi
Can I do both HTB and LISA?
HTB for house and LISA for pension?
so i contribute 2400 max for HTB and 4000 max for LISA in one tax year
thanks
bob

Why not use a LISA for both (that's what it's designed for)?

Unless you're panning on buying before April 2018, you can put more in a LISA and so get more bonus for buying your house then through a H2B ISA.

But you can do what you suggest.

greenglide

But you cant do £2,400 to HTB ISA and £4,000 to LISA in the same tax year.

The maximum for a LISA is £4,000 less the amount subscribed to a HTB ISA in the same year.

Mike_320

Not sure if this has already been said but it seems Halifax is at least preparing to offer a LISA. This message comes up when signing into online banking:

Changes to our cash ISA conditions.
We are making some changes to the conditions for our cash ISAs. These changes will come into effect on 6 April 2017.
The changes will allow transfers in and to a new type of ISA, lifetime ISA. Halifax does not currently offer lifetime ISAs.
A copy of the amended conditions will be available from 6 April 2017

masonic

greenglide wrote: »

But you cant do £2,400 to HTB ISA and £4,000 to LISA in the same tax year.

The maximum for a LISA is £4,000 less the amount subscribed to a HTB ISA in the same year.

That's only correct in the situation where the HTB ISA is transferred into the LISA, which I presume is what you meant, but it is worth clarifying.

Midcrisislife

Had a good chat with the nephew on this and yes looks good but I don't think a 19yr old should start one up if there is a chance he'll be tapping it later for travel or cars. I think a tracker ISA is a good idea to kick off with then transfer to this later on when the mind is calmer and the energy lesser.

Other side of the coin is that the govt might pull it if oversubscribed or the Chancellor has second thoughts.