25% fee of closing a LISA

IrishShane

Quick question regarding closing a LISA without being at the required age or purchasing your first house: Is the 25% penalty the bonus that you received, and therefore you wouldn't actually lose any of your own money you put in?

I ask because I wish to open one, but in the event that I move abroad in the future, I'd like to potentially withdraw the funds.

AnxiousTheElephant

You would lose some of your own money too..

If you paid £4000 and got the £1000 bonus (£5000) and wanted to with draw it all it would be 25% of £5000 (£1250)

IrishShane

AnxiousTheElephant wrote: »

You would lose some of your own money too..

If you paid £4000 and got the £1000 bonus (£5000) and wanted to with draw it all it would be 25% of £5000 (£1250)

Ah yes, you're right. I hadn't thought that through. Thanks!