Isa xfer

Silverbird65

Hi am thinking of transfering maturing USA from ford money to HTBank. Am worried it could take sometime to xfer. Anyone experienced ?
Cheers

bowlhead99

Cash ISA transfers are usually straightforward and relatively quick compared to transfers which involve investment assets. HMRC guidance says they should complete within 15 business days (3 weeks) but in practice they can be quite a lot faster. I don't see that you would need to be worried.

Per gov.uk guidance:

Cash ISA to cash ISA transfers must take place within 15 business days of the transfer instruction being received by the new ISA manager, unless the investor stipulates that the 15 days starts on a later date. This 15 days is broken down as follows:

The new ISA manager has 5 business days to forward the instruction to the old ISA manager.

The old ISA manager has 5 business days in which to send the funds and information to be provided to the new ISA manager.

The new ISA manager has 3 business days to apply the funds to the new ISA.

The other two days are to allow for time taken for first class post between managers.

dunstonh

There is a defined process to ISA transfers which means you dont really have to worry about timescale.

eskbanker

Silverbird65 said:

Hi am thinking of transfering maturing USA from ford money to HTBank. Am worried it could take sometime to xfer.

What is your specific concern, i.e. what impact would you anticipate from a delay, and what do you see as the alternative to transferring?  There have been numerous reports on here of ISA transfers taking significantly longer than the prescribed timescales, which isn't entirely unexpected when most organisations are operating at reduced capacity, and transferring between two institutions which aren't major high street players may exacerbate that, although transfers should be processed in such a way that the funds are always earning interest with one or the other, so it's not as if money will be in limbo (in terms of interest) during prolonged transfers.

If timescale is important to you, do you perhaps have the option of withdrawing from one and paying in to the other?  This wouldn't be applicable if you have more than £20K in Ford or if you are going to use your 2020/21 allowance....

Silverbird65

The transfer time would impact on fixed rate maturity Isa if sent by cheque to new provider?

eskbanker

Silverbird65 said:

The transfer time would impact on fixed rate maturity Isa if sent by cheque to new provider?

You should be able to specify the maturity date on your transfer request, and receiving ISA providers are expected to backdate interest to the date of a cheque where that method is used....