Non Funded S&S ISA - Do I need to transfer? 28 November 2021 at 4:33PM in ISAs & tax-free savings 4 replies 61 views

CavendishWobble

Hi all!

Iv searched the forums and online articles but unable to get a clear answer on my situation - any help would be great!

I opened a Vanguard S&S ISA 2 months ago but never funded it. I am now having second thoughts if this is the best S&S ISA for me and would prefer a S&S ISA with AJ Bell, therefore I questioning if I need to do a formal transfer from Vanguard to AJ Bell for my £0 or if I can close it down and just open a new S&S ISA with AJ Bell?

Confusion has come from a number of articles saying you can only 'open' 1 ISA type each tax year rather than 'fund', which is a key difference in my situation. 

Thank you in advance!

Thrugelmir

Might as well fund with some cash and transfer. Then the matter is dealt with seamlessly. 

eskbanker

CavendishWobble said:

Confusion has come from a number of articles saying you can only 'open' 1 ISA type each tax year rather than 'fund', which is a key difference in my situation. 

Ignore articles referring to restrictions on 'opening' accounts, as the actual rule relates only to 'subscribing', i.e. paying new money in, as stated in all definitive documentation, such as https://www.gov.uk/individual-savings-accounts

You can put money into one of each kind of ISA each tax year.

So, if you haven't paid into any S&S ISA during the current tax year, you're free to choose where to make this year's subscription....

masonic

All you need to do is open a new S&S ISA with AJ Bell. Whether you go to the trouble of doing anything else is entirely up to you. Putting both ISA managers through the administrative burden of a transfer is the least desirable option.

CavendishWobble

Thank you all for your quick responses!