This years ISA mistake

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plandshoft
plandshoft Posts: 1 Newbie
edited 10 April 2017 at 11:10PM in Savings & investments
My Fianc! has an ISA which she has had with the same provider for a number of years with very little in it. Recently we came into some money due to a bereavement and as we are saving for a wedding she put £15000 into it. Unfortunately it pays a paltry 0.05% interest and as there are better rates out there I thought I'd ask forum members a couple of questions.
Am I right in thinking that the limit for an ISA is £20000 in this tax year? and, if so, could she open another ISA with either another provider that pays better interest or the same provider with a better scheme and transfer the £15000 into it? or could she close that one withdrawing all the money and open a new one?
Many thanks for any advice

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  • Vortigern
    Vortigern Posts: 3,247 Forumite
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    Yes, the new ISA limit is £20000, but that applies to new money going into ISAs, not to transfers.

    Yes, she can transfer to a better ISA.

    Before making any hurried decision, consider whether either, or both, of you would benefit from a help to buy ISA or a LISA.
  • AnotherJoe
    AnotherJoe Posts: 19,622 Forumite
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    Why ISAs when the rates are better in numerous savings and current accounts?
    And, as said, why not HTB ISAs? Also cash LISAs coming soon.
  • alanq
    alanq Posts: 4,216 Forumite
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    How recently was the £15000 deposited? Before 6th April or not?
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