Where/how can I transfer my CASH LISA (Lifetime) into STOCKS & SHARES LISA (Lifetime) please?

Hibiscus79

Hello,

I have a Skipton Building Society Cash LISA (Lifetime ISA) that I want to transfer into a Stocks & Shares Lifetime ISA but I'm struggling to find anyone who will do that.  Skipton, Nutmeg, Hargreaves & Lansdown who I have accounts with, all say no.  Evestor, AJ Bell, Wealthify, Vanguard all say no too.  I don't want it to lose it's 'Lifetime' status as the Government adds 25% per year.  It cannot lose it's 'Lifetime' wrapper in the transfer as I am over 40 now, so I wouldn't be eligible to open a new one.  Most places say I can only transfer it into a regular S&S ISA with them (and 25% charge) but that's not what I want to do.  It's invested for the long term so really it should be in stocks & shares not cash but I'm struggling to find anyone who will accept this.

Has anyone had any luck/advice please?  

Also in a S&S Lifetime ISA, how is the 25% Government bonus added?  E.g. as a percentage of what you've put in or as a percentage of the total pot?

Thank you in advance.

Gov website on Lifetime ISA https://www.gov.uk/lifetime-isa

eskbanker

The inability of over-40s to transfer into S&S LISAs is a fairly frequent issue on here, so, rather than reinventing the wheel, I'll just point you to one of the more recent threads, in which an advised(-only) option is highlighted:

https://forums.moneysavingexpert.com/discussion/6311050/over-40s-being-prevented-from-transfering-lisas-to-a-new-provider/p1

On the subject of the 25% bonus, in any LISA this is added to each of your contributions, not the overall pot, as a one-off.

Albermarle

There have been similar questions on the forum before . Although you should be able to transfer a LISA after you are 40 , it seems no providers are willing to do it .
The problem seems to be just internal IT issues that they are seemingly not willing to resolve due to the small amount of demand involved.
You just have to hope that one day someone will offer the service.

Hibiscus79

Dear @eskbanker Many thanks indeed for your speedy response.  I read the thread you directed me to.  I had no idea for some providers it could be related to my age.  HL said it was too costly for them to obtain & add the Government bonus, so no mention of age in their case.  In reading the thread, it could be the limits on how much you can add mean it simply is not a money spinner for the providers to maintain.  Especially if at 40,  we can only legally add to it for another 10 years.  Many thanks for shedding some light on it.  I may write to the money section of the newspaper I subscribe to, incase they can shed some light/apply some pressure on the industry.  If successful, I will post their response on here.

Thank you @Albermarle  It shows I am not going mad, it really is difficult to do this!  I wish I had had the foresight to make it a S&S LISA at time of opening.

Thank you both for your time.

Alexland

Albermarle said:

Although you should be able to transfer a LISA after you are 40 , it seems no providers are willing to do it .

In the thread eskbanker posted Dunstonh confirmed that Transact would be willing but it would require an IFA to setup. My guess is that it would cost at least £500 probably more these days. Over the long term if expecting to make good use of the LISA allowance it should be worth it for the likely higher returns of S&S over cash.

https://www.unbiased.co.uk/life/get-smart/cost-of-advice

housemw

Absolutely ridiculous, I took out a LISA under 40 with a view to transfering to SS LISA once there was decent amount and an opportunity to invest. Checked this all out in advance that you were abel to do it as per government advice and you cant do it. Either the Governement needs to action something or someone needs to press these companies to accept. How do we get this Martin Lewis chap to get on this?

housemw

 

Alexland said:

Albermarle said:

Although you should be able to transfer a LISA after you are 40 , it seems no providers are willing to do it .

In the thread eskbanker posted Dunstonh confirmed that Transact would be willing but it would require an IFA to setup. My guess is that it would cost at least £500 probably more these days. Over the long term if expecting to make good use of the LISA allowance it should be worth it for the likely higher returns of S&S over cash.

 

Thanks too much hassle needs to be low cost, particularily now to get any kind of return. If I get to 50 and there still isnt an option well then might have to. However I am holding out for one of these companies to accept. Time to bash some investment platforms people.