Junior ISA and junior reaches 18

snowshine

My son had a junior ISA with Nationwide BS.
He reached 18 in June 2017.
A letter arrived May 2017 from Nationwide BS, informing "Your Smart Junior ISA will mature on your 18th Birthday".
Information read- on your 18th birthday the account will automatically transfer to a Junior ISA maturity account, with interest rate at 0.25%.

I wish this be continued as ISA for the foreseeable future with a better interest rate. Could he transfer this to another ISA provider through the new ISA provider of his choice using new ISA providers website?

I ask this because the same letter he received ( informing maturing at age 18) has the following: " To use your new account and access your savings, just pop into branch with some identification (ID) and your National Insurance number..
Does that mean he will first have to visit the Nationwide BS prior to make any transfers?

He is away at Uni and now come home for Christmas. He will have to do the changes prior to return to his Uni.
Getting 18 yrs and to get him do these takes a lot of effort!!!!

colsten

snowshine wrote: »

I wish this be continued as ISA for the foreseeable future with a better interest rate.

what does your son wish to do with the money? It is his money, and as he is now an adult, it's his decision.

snowshine wrote: »

Could he transfer this to another ISA provider through the new ISA provider of his choice using new ISA providers website?

He definitely can. It's just a normal cash ISA now and he can request an ISA transfer any time he likes. Whether an ISA transfer is the right option depends and what his plans for the money are, and how much he got.

When does he need the money? Is continuing with a cash ISA the best alternative, or should he be investing? Should he be keeping some in cash, and invest some?

How much money is involved? Would a LISA be a viable alternative for some or all of his ISA money? Are there other, non-ISA accounts, that would pay more interest?

AirlieBird

Nationwide will reject a transfer request if the identity information from the new ISA manager does not match what they hold exactly. This will include the name, address and National Insurance number, which is mandatory for an adult ISA where the ISA holder has one. He should provide this to Nationwide before making a transfer otherwise it is highly likely the transfer request will be rejected as the NI numbers will not match.

xylophone

https://www.nationwide.co.uk/-/media/MainSite/documents/products/savings/terms-and-conditions/P1283.pdf

Restrictions on withdrawing money from your account
8. If you make a withdrawal, you must withdraw the whole of the balance or transfer the whole of the balance to another Nationwide cash ISA or to
an ISA with another ISA manager. The account must then be closed.

The account can be transferred to another ISA manager - he will need to ask the new manager to arrange the transfer.


http://www.thisismoney.co.uk/money/saving/article-1583864/Best-savings-rates-Isas-Cash-Isa-accounts-fixed-rate-Isas.html

Does he want to stick with ISA?

He might prefer to consider the NS&I three year Growth Bond at 2.2%?

https://www.nsandi.com/our-products

Or he might want to start a LISA?