LISA Plan 2017-2018

So I started a Help to buy ISA in Feb 2017, and have been saving the maximum amount since each month, so about £3.2k in it. On top of that I regularly add into just a normal saving account all for the purpose of buying a home late 2018 / early 2019.
I have just learned from this site about Lifetime ISAs (LISA) and wanted to get advise on whether I need to change my strategy

Would it be a good idea to :
A ) Open a LISA - move all of my help to buy over - and use the £4k annual allowance before it resets in April 2018 - and move all my savings into the LISA
B ) Open a LISA - put a pound in - wait for it to mature - and move my help to buy ISA over at the end of the year
C ) Open a LISA - move my non Help to buy savings into it during the year
D ) Other ....

I understand most of the differences between the two, I am just looking some advice on what would be a good move. Any help would be greatly appreciated.

Comments

  • Alexland
    Alexland Posts: 9,639
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    edited 16 December 2017 at 11:20PM
    You need to have had the LISA open 12 months before it can be used to buy a property. You can only use either the HTB or LISA not both.

    The ability to move your HTB ISA into a LISA is available this tax year and Skipton need you to have opened the account and revieced the transfer request by 1st March to give them just over 1 month to process it. Even then they are not guaranteeing it will occur as there may be delays with either provider.

    Once the transfer is complete you will then know how much interest you earned this year in the HTB which alongside your contributions will determine how much more you can add to get to the £4k LISA total.

    With only around 3 months left this tax year get on with it and don't leave it to the last minute incase there are unexpected delays or you miss the Skipton cut off date. People trying to be too clever might be disappointed.

    Alex
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