Transfer Help2Buy to Lifetime

mhuk01

Hello

I have a Help to Buy ISA (opened august 2017) with around £2000. I also have just opened a Lifetime ISA.

My question is what is the benefit for transferring the £2000 to the Lifetime ISA? Would it be any different withdrawing the £2000 into an ordinary bank account, then at some point before April tax year resets, putting it into the Lifetime ISA?

Many thanks, and Happy New Year!

Ed-1

mhuk01 wrote: »

Hello

I have a Help to Buy ISA (opened august 2017) with around £2000. I also have just opened a Lifetime ISA.

My question is what is the benefit for transferring the £2000 to the Lifetime ISA? Would it be any different withdrawing the £2000 into an ordinary bank account, then at some point before April tax year resets, putting it into the Lifetime ISA?

Many thanks, and Happy New Year!

Other than the fact that withdrawing it from the ISA wrapper may reduce what you can put back into ISAs this tax year (which is mostly irrelevant with a £20,000 ISA allowance and low rates anyway) there is no benefit from transferring it from H2B ISA to LISA as it was put into the H2B ISA after 5th April 2017 (anything in a H2B ISA before 6th April 2017 could be transferred to LISA on top of £4,000 this year).

mhuk01

Ok thank you, I thought that was the case but just wanted to check I wasn't missing something!