Flexible ISAs guide

hermante

If you put 20K into a flexible cash ISA, can you self-transfer 10K to an S&S ISA?

masonic

hermante said:

If you put 20K into a flexible cash ISA, can you self-transfer 10K to an S&S ISA?

Yes, any money you flexibly withdraw can be replaced into a valid ISA of any type.

Aceace

hermante said:

If you put 20K into a flexible cash ISA, can you self-transfer 10K to an S&S ISA?

Only if at least £10k in the cash ISA was from this tax year's subscriptions. 
Any funds from a previous tax year's subscriptions can only be flexibly replaced back to the account it came from. 

masonic

Yes, if some or all of the funds flexibly withdrawn for the self-transfer have come from a previous tax year, then that part of your self-transfer will count towards this tax year's ISA allowance.

FizzyBobble

Hello

I have a flexible ISA, into which I have deposited by full allowance for this year - but the rate has dropped. If I transfer this to a new flexible ISA, will I still be able to use the flexible ability to withdraw and replace should I need to?

Thanks a lot

masonic

FizzyBobble said:

Hello

I have a flexible ISA, into which I have deposited by full allowance for this year - but the rate has dropped. If I transfer this to a new flexible ISA, will I still be able to use the flexible ability to withdraw and replace should I need to?

Thanks a lot

Yes, if you use the new provider's transfer process.

twadds123

Think this is the best thread to ask this on rather than a new one.

Just want to clarify my understanding of flexible cash isa rules.

So on 6th April 2024 i opened a flexible cash isa.  so it had a balance of zero at the start of this tax year.

During the year i've both deposited and withdrawn cash, if at some point I get to the £20k new money limit but then need to withdraw before the end of the tax year what happens to my allowance for next tax year?

For example,  sometime in Feb25 I get to the total of £20k new money in my flexible ISA.

but in March 25 I withdraw £5k  , obviously if i replace that before 5th April all is fine.

However if I don't replace it before 5th April can I replace it in the new tax year, in the same ISA without affecting my allowance for 25/26?

So assuming i'd got to the 20k in 24/25,  is my allowance in the same flexible isa for 25/26 just £20k or is it allowed to replace back to the £20k i had in during 24/25 and then add a new £20k?

so allowing for it all being in the same flexible cash isa, as long as I got to the £20k during this tax year can I get to £40k during 25/26 regardless of what my final balance was on 5th april,  or is the figure on 5th April set and I could only add another £20k to that and i've lost out as had to withdraw late in 24/25?

thanks in advance .

eskbanker

Everything resets at the start of the new tax year, so you can't carry forward any unused flexible replenishment across years and simply have an allowance of £20K again for 2025/26.

PowerSavingMode

Withdrawing and depositing across flexible cash ISAs

If I opened a flexible cash ISA earlier this tax year and withdrew, say, the full £20,000 — would I now be able to open another flexible cash ISA and deposit £10K in that and £10K in the older flexible cash ISA? Or does it have to go back into the flexible cash ISA I withdrew from initially? (Hope this makes sense!)

eskbanker

PowerSavingMode said:

Withdrawing and depositing across flexible cash ISAs

If I opened a flexible cash ISA earlier this tax year and withdrew, say, the full £20,000 — would I now be able to open another flexible cash ISA and deposit £10K in that and £10K in the older flexible cash ISA? Or does it have to go back into the flexible cash ISA I withdrew from initially? (Hope this makes sense!)

As highlighted prominently in the article this thread is here to discuss:

You must replace the money in the same ISA

The key rule is you must replace the money in the same ISA account you took it out from, otherwise the deposit will count towards your £20,000 annual limit.