We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

ISA Transfer to fixed savings

Options
Am I able to transfer money from an ISA when my term ends to a fixed savings account. Looking at the info on site a fixed savings account has a better rate of interest than an ISA and I am no way near the PA limit to have savings taxed

Comments

  • masonic
    masonic Posts: 27,151 Forumite
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    Yes you can withdraw the money from the ISA and put it in a taxable savings account if that will give you a better overall return. Remember that if it is a substantial sum, getting it back into an ISA in the future may need to be spread over more than one tax year, should you wish to do so.
  • Albermarle
    Albermarle Posts: 27,739 Forumite
    10,000 Posts Seventh Anniversary Name Dropper
    You can transfer your money from a cash Isa savings account , to a non isa savings account at any time with no restriction .
    As you are currently in a fixed term account than obviously would make sense to wait until the term was finished though.

    If you are nowhere near the  PA limit for savings interest, and unlikely every to be, then it makes sense to take advantage of the better rates outside the ISA.
  • Widget1974
    Widget1974 Posts: 6 Forumite
    Fourth Anniversary First Post
    What does it mean when I am advised ‘if the money is coming out of an ISA you will lose the ISA status on that amount’
  • eskbanker
    eskbanker Posts: 36,951 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    What does it mean when I am advised ‘if the money is coming out of an ISA you will lose the ISA status on that amount’
    It means that once the money is no longer within an ISA environment, any subsequent income earned from it, e.g. interest, is taxable, even if it's taxed at 0% when within the personal savings allowance.  'Tax-free' versus 'taxed at 0%' is a subtle differentiation but one that is unlikely to impact your tax bill unless you happen to be close to a threshold between tax bands....
  • Anyone else had problems with Santander? Worst ever. Went to branch and asked if I could pay in £35,000 to my husband fixed rate bond. They took the cheque {which was written from our current account} I gave them all the details of bond ie ac no ola no ref no. They then paid it back into our joint acc. Duh. I said what are you doing and they admitted their mistake and said they would have to wait for it to clear I said no way as my husband is self employed so they said the would reverse it. They gave me the chq back {022011) which I tore up.  I then sent another chq no 022012 for £35,000 to the free post address sent in the email to my husband on 15 sept. Still nothing has happened. What do I do? Agh.
  • I am now on my 2nd phone call to Santander. Still hanging on while they try and sort it
  • eskbanker
    eskbanker Posts: 36,951 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    What do I do?
    Start a new thread, rather than piggybacking on an unrelated one about ISAs from nearly two and a half years ago....
  • Still hanging on 1hr and 4 mins
  • cheques?  time to embrace online banking
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 350.8K Banking & Borrowing
  • 253K Reduce Debt & Boost Income
  • 453.5K Spending & Discounts
  • 243.8K Work, Benefits & Business
  • 598.6K Mortgages, Homes & Bills
  • 176.8K Life & Family
  • 257K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.