Partners allowance

ChilliBob

My partner hasn't used her isa allowance (ever). I'd like to make use of it myself as I'm able to, but not 100% sure if this is allowed.

Essentially I envisaged creating an account for her on say iweb or similar, and either linking her current account and paying in, or linking my account. Paying in the full allowance.

We're not married (October, been moved three times due to Covid!) but have a three year old son together and have been together over 7 years (I appreciate this probably makes no difference if its a day or  50 years).

So, am I allowed to do this?! 

Aceace

You can only do it by gifting her the cash and then letting her open and invest in the ISA (obviously, you can physically manage the account on her behalf). She would be the legal owner of the account and any profits. You would have no recourse if you split up and she decided to keep it. 

eskbanker

You're not allowed to do this as such, but if an account is created in her name (with her consent) then realistically nobody will be any the wiser.  However, perhaps worth bearing in mind that any such money in her name is legally deemed to be hers, so if the worst came to the worst you couldn't just reclaim it....

ChilliBob

Cheers, I guess this is just akin to giving 20k as a gift and the recipient can do whatever they want with it. If they choose to invest it in an as isa and would like some assistance, then cool  

ratechaser

The RC household approach is we have a pot of investable money and at the start of the tax year we fill up our ISAs (and the kids JISAs) and then near the end of the tax year we fill up any remaining headroom in our pensions. I've long forgotten what the concept of 'my money' really is. Mrs RC would argue that it never existed in the first place  

in all seriousness though, it's totally a question of trust. Sounds like you have it, so definitely take advantage of the opportunity to use your collective allowances as efficiently as possible...

Alexland

If you do the button pushing just remember to ensure she understands and agrees to it, you open the account and make contributions together (her debit card will probably require her to confirm the transaction via her bank's text message or app) and she is given a 'reminder sheet' before phoning them about anything (password reset, etc). Some platforms (not iWeb) allow you to link accounts to either view or even make changes to your partner's investments from the same login.

ChilliBob

Thanks @Alexland do you know what platform is off the top of your head allow that? Ii? 

Alexland

ChilliBob said:

Thanks @Alexland do you know what platform is off the top of your head allow that? Ii? 

I can see my wife's investments via account linking on Fidelity and AJ Bell (and remember it was possible with Vanguard too). AJ Bell do allow me to trade on her account (not Fidelity and can't remember for Vanguard) but none would allow me to contribute new money to her accounts. It is allowed under the ISA rules provided the money is hers (ie a gift) but in practice most ISA managers will not allow contributions from others (unless a child account) so you have to be logged in as the right user with the correct debit card.

I find that using a joint bank account makes it easier as I can ensure the money is ready to be paid in. iWeb remembers the debit card details so all that is usually required is her reading our the text message code from the bank. Sharing codes and pushing buttons is almost certainly against the terms (unless you have registered POA) but I expect many people help operate family accounts. Just ensure it doesn't go so far as to be classified financially controlling behaviour and if it's your money be sure it is a gift as you might not get it back.

ChilliBob

Thanks for the input, some food for thought. I think I'd go down the gift from my current account to hers - she funds the isa, probably in one go. I suppose the concept of 'family accounts' for investment platforms aren't that common, not like its Centre Parks lol! 

masonic

ii also allows family accounts to be linked. They used to only charge one set of platform fees for linked accounts, but I don't know if that's still the case after their fees overhaul.

jimjames

ChilliBob said:

Thanks @Alexland do you know what platform is off the top of your head allow that? Ii? 

HL definitely allow that facilty as well