Understanding Cash ISA

[Deleted User]

I have rejoined because I kept losing and forgetting my log in details. This is my first new post since rejoining as Retired Saver.

I can't quite understand exactly where I stand with the ISA rules. I took out a fixed Coventry ISA with a variable part for about 18 months in May this year. I have saved £2,000 since opening it in May.

Now the variable interest part is reducing and, as I have paid in this tax year, I was wondering if I would be allowed to transfer to a different provider with better interest then continue to save with the new provider for the rest of this tax year. Because I have already contributed to Coventry would I be barred from contributing to a new provider's ISA this year once the new provider has accepted my full transfer from The Coventry? I would like to fix for two years and add to the transferred ISA, if allowed, during the current year.

Thank you for any help in making it clear for me.

New account name is 'Retired Saver'

masonic

If the contributions to both the fixed part and variable part were made this tax year, then you would need to transfer both parts to the new provider. Once transferred, you could use the rest of your allowance with the new provider.

[Deleted User]

Thank you for post #2. That is what I was hoping for - to transfer all of the Coventry ISA to one fixed for two years with better interest. Once transferred I would add to the £2,000 gradually during the rest of this tax year.

Will check but Leeds Building Society seems to be suitable to transfer to, thanks again.

Retired Saver

masonic

Be aware that many fixed rate ISAs have a limited window of time within which they will accept deposits, so you should check the terms of your desired product. Some (but not all) providers will allow you to open an additional account that they treat as being part of the same ISA to get around this limitation.

[Deleted User]

masonic wrote: »

Be aware that many fixed rate ISAs have a limited window of time within which they will accept deposits, so you should check the terms of your desired product. Some (but not all) providers will allow you to open an additional account that they treat as being part of the same ISA to get around this limitation.

I will check before transferring - thank you for good information.

Retired Saver

rcgood

If i deposit under the maximum allowed allowance into a cash isa, Can i top it up during the year to the maximum allowance? and continue the following years, I am looking at a fixed cash isa, for the higher interest rate

masonic

rcgood wrote: »

If i deposit under the maximum allowed allowance into a cash isa, Can i top it up during the year to the maximum allowance? and continue the following years, I am looking at a fixed cash isa, for the higher interest rate

See post #4 above