ISA rules query 13 June 2018 at 4:02PM edited 30 November -1 at 1:00AM in ISAs & Tax-free Savings 2 replies 684 views

IM135

Hello,

Looking for some advice as I can’t find the answer on the site.

I have opened up a new stocks and shares ISA this year with a different platform provider to the one I’ve used last year. I’m not really liking the app and online layout/site and wishing I’d gone with the same platform I used last year or a cheaper one.

If I transfer the money out AND close the account is it possible to open a new stocks and shares ISA in the same year?

Or do I need to suck it up and wait for next April to transfer?

As far as I can see there are no transfer fees or penalties/charges for account closure.

Sorry if this is a stupid question!

cloud_dog

IM135 wrote: »

If I transfer the money out AND close the account is it possible to open a new stocks and shares ISA in the same year?

If you transfer the account (current years ISA) then you are not opening a new subscription.

If the receiving provider requires you to open an account before you transfer then that might be problematic. Best check with the receiving provider.

You cannot open a new ISA this tax year.

eskbanker

cloud_dog wrote: »

If you transfer the account (current years ISA) then you are not opening a new subscription.

If the receiving provider requires you to open an account before you transfer then that might be problematic. Best check with the receiving provider.

You cannot open a new ISA this tax year.

Not sure if it's 'just' semantics but I disagree with how you've worded that - if OP wishes to move to a new provider this year then they do need to start by opening an ISA with the new provider before then arranging with them to transfer all the contents of the old one over prior to adding any new money.

It's correct to say that the new provider needs to accept inbound transfers though, and if the intention is to transfer investments in specie (rather than via cash) then clearly the new provider needs to offer the investments concerned.

Transferring all of this year's contributions back to last year's provider would also be viable, again assuming they accept transfers.