Transfer Lifetime ISA over 40

I've had a lifetime ISA for 4 years and it has performed really badly. Now over 40 and I can't transfer it. I've stopped paying in but inflation will make it worthless by the time I'm 60. What can I do?
HargreavesLandsown  will not let you transfer from an existing LISA and AJ Bell will not even let me open one as I am over 40? Are these schemes just a con? To have money locked into a bad account for 20 years+ is just ridiculous. 
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  • edited 23 May 2020 at 2:39PM
    masonicmasonic Forumite
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    edited 23 May 2020 at 2:39PM
    Hargreaves Lansdown ask if you are over 40 in their application process, and if you are point you towards a paper transfer form (edit: I notice when opening the pdf linked that it is not actually the appropriate form for a LISA to LISA transfer, but perhaps this is a website error). Are you saying you tried that and HL refused you?
  • eskbankereskbanker Forumite
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    I've had a lifetime ISA for 4 years
    No, you haven't, they were launched three years and one month ago!

    it has performed really badly. Now over 40 and I can't transfer it. I've stopped paying in but inflation will make it worthless by the time I'm 60.
    Is it a cash one or an S&S one?  It's never been a sensible idea to use a cash one for that very reason (inflation) but 'performing badly' suggests the variability of a S&S one - if that is the case then why do you conclude that it'll lose to inflation for the next twenty years, is this based solely on recent drops in investment values?

    masonic said:
    Hargreaves Lansdown ask if you are over 40 in their application process, and if you are point you towards a paper transfer form (edit: I notice when opening the pdf linked that it is not actually the appropriate form for a LISA to LISA transfer, but perhaps this is a website error). Are you saying you tried that and HL refused you?
    HL don't accept transfers into their LISA from other LISAs, as per https://www.hl.co.uk/investment-services/lifetime-isa/transferring

    Unfortunately, we can’t currently accept transfers from other Lifetime ISAs.

  • edited 23 May 2020 at 3:07PM
    AlexlandAlexland Forumite
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    edited 23 May 2020 at 3:07PM
    eskbanker said:
    HL don't accept transfers into their LISA from other LISAs, as per https://www.hl.co.uk/investment-services/lifetime-isa/transferring
    Still worth a try as Masonic says the HL application process asks if you are over 40 and if so offers a transfer form. Until someone trys we won't know for sure.

    Also has the OP tried EQi to see if they will accept a LISA transfer over 40? Their charges looked reasonable.

    Still if the root of the problem is that the OP isn't  impressed with the stock market crash that's going to be the same with all S&S providers. Unless the OP was to pick an active fund on a DIY platform that happened to outperform the market.
  • edited 17 February 2021 at 8:55AM
    611611 Forumite
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    edited 17 February 2021 at 8:55AM
    OneFamily seems to allow this.
    To open an account, where the initial payment will be made by any method other than a transfer from another Lifetime ISA, you must be aged between 18 and 39.

    From age 40, you may be able to open an account with us by transferring the value of an existing Lifetime ISA. For details of the transfers we currently accept please refer to our website.
    Edit: They don't allow transfers from Lifetime ISAs despite what it says in their T&Cs.
  • edited 31 January 2021 at 4:45PM
    AlexlandAlexland Forumite
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    edited 31 January 2021 at 4:45PM
    611 said:
    OneFamily seems to allow this.
    But then you would have a LISA in Onefamily's poor investments
    Unsure that's better than being in cash for 20 years!
    In the end it was confirmed EQi supported over-40 transfers but the charges are likely to go up after they are bought by Interactive Investor.
  • GPK10GPK10 Forumite
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    As someone over 40 feeling stuck with a Onefamily LISA, would you recommend transferring to Eqi?
    I opened it rather naively thinking transfers would be easily available a couple of years ago. The balance is low - roughly £1300 - but am now looking to add to it. Don't want to end up paying what could be £120 in charges if Eqi is taken over though!
  • AlexlandAlexland Forumite
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    Yeah that's the problem if a small EQi account moves to II fixed charges then it would be uneconomic. It might not be so bad if you also had your S&S ISA with II or were committed to using the full LISA allowance each tax year so were getting more value from the £9.99 pm and it would be a more reasonable percentage of the investments.
    EQi will probably stop accepting new LISA customers soon as that's what happened when II bought The Share Centre. You would need to use the paper form if you wanted to transfer.
    Might be worth emailing AJ Bell to ask their latest plans for over 40s as at least it will show some market demand? Please let us know if they tell you anything useful.
  • edited 6 February 2021 at 1:45PM
    masonicmasonic Forumite
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    edited 6 February 2021 at 1:45PM
    No harm in giving AJ Bell another try, but I would think even with the potential increased costs when II take over, it is the lesser of two evils vs the investment options available at Onefamily assuming your balance doesn't stay low.
  • GPK10GPK10 Forumite
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    Thanks both. I have emailed AJ Bell to ask, making the point that increasing numbers of LISA holders will be over 40 
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