Help to Buy ISA to LISA

wishinghome

Hello
My husband and I currently have approximately £1,400 each in old help to buy ISAs. We are looking at properties currently with the hope to move this summer. I also have a Lifetime ISA. We have no other ISAs. Is it possible to close our help to buy ISAs (we are looking at houses at approx £300,000 outside of London so cannot make use of the help to buy bonus) and have the money paid in to our joint current account and then pay that money in to my LISA in April?

I was looking at submitting a transfer form for my help to buy ISA, but would need to wait until 1st April to submit the form and then wait the 3 weeks or so for the transfer. Then once I know exactly how much has been transferred I can pay the extra to take me up to the max £4,000 allowed. Then we have to wait the 6 weeks or so for the bonus to be paid. Whereas if I just close the help to buy now, I can pay the full £4,000 in from the new tax year so the bonus would clear sooner. I'm just not sure if this is allowed? Also is there any reason we couldn't pay the money in from my husband's ISA to my LISA when he closes his ISA? 

I'm sorry if that's all a bit jumbled I hope it makes sense! 

Any advice appreciated. Many thanks. 

wishinghome

Just to add my husband is over 40 so cannot open his own Lifetime ISA.

Alexland

It doesn't sound like you are likely to use your full £20k ISA allowance next tax year anyway so yes it's probably easier to close the small HTB ISAs and then your husband gifts you the money (we just use a joint bank account with both names, but he may need to send it to a bank account in your name) so you can add it all into your LISA at the start of next tax year on 6th April (assuming you have already contributed the full £4k for this tax year) with the associated bonus likely to be added towards the end of May or early June.

wishinghome

That's brilliant, thanks so much.