iweb funding?

Londonlisa12

When i add funds to iweb to be used to buy a fund to be held in a s&s isa is the cash held within my isa acc or is it held within my general account? Or do i specify which account i wish it to be held in ready to invest?

Alexland

Each of the two iWeb accounts has the ability to add cash directly from your debit card. We only ever use the S&S ISA account and never do any transactions in the mandatory General Account.

Alex

Londonlisa12

Thank you Alex,

1.Does the £5 transaction fee come out of my requested order value,or can i deposit more to cover the fee?
2.can i hold more than £20000 in cash in the s&s isa ready to buy and cover costs?
3.does the transaction cost count towards the £20k yearly limit?
Thank you.

Alexland

1. the £5 comes out of the order value so we usually run our iWeb ISA accounts with a £0 cash balance unless we have just made a new cash contribution and are investing it all.

2. You can hold as much cash as you like in the ISA account as the value build up over the years - however you can only contribute £20k of new money in total across your ISA accounts each tax year.

3. Yes the investment transaction cost is taken from the total order value which uses cash in the ISA account which was contributed under the £20k per tax year limit.

Alex

Londonlisa12

One last question,is the initial £25 account opening fee paid separately or taken out of your first deposit into the general account or the s&s isa account?
Thank you.

Alexland

From memory the account opening fee was collected from our bank account and didn't count as a contribution to either account.

MaxiRobriguez

Alexland wrote: »

From memory the account opening fee was collected from our bank account and didn't count as a contribution to either account.

This is correct.

Alexland

MaxiRobriguez wrote: »

This is correct.

Thanks although I don't remember if it was a direct debit or debit card transaction against the bank account. Still the signup process should provide guidance on this.

pafpcg

Londonlisa12 wrote: »

One last question,is the initial £25 account opening fee paid separately or taken out of your first deposit into the general account or the s&s isa account?

If you have any concerns about this potential "loss" of £25 from your £20,000 ISA contribution, open your IWEB account initially with just the share-dealing account and send the £25 to this account. The share-dealing account can remain dormant with no cash balance or holdings. Then when you've successfully set-up your share-dealing account, open your ISA and there'll no chance that the £25 will be debited from your ISA contribution. It worked for me!