Cash ISA to Stocks and Shares ISA Transfer Clarification 21 April 2022 at 10:51AM in ISAs & tax-free savings 2 replies 76 views

Dellphillius

Hi everyone,

Newbie here. I've done some research on my query but I'm a bit unclear on the exact rules for this so would be grateful for some advice:

I have all my savings tied up in a cash ISA with Virgin. I've used them for the past 3/4 years and each year I've transferred my ISA balance into a new account with them to take advantage of a better rate for the new tax year. I've just done my transfer for this year into a new account. I'm looking at taking a small amount from my total balance and putting it into a Vanguard stocks and shares ISA. From what I've read I should have done this from last year's account before I transferred into a new one. Could someone please clarify if this is correct? I understand I can hold both a Cash ISA and a S&S ISA simultaneously but I want to be certain I won't be hit with any charges if I transferred a small amount from one into the other.

Many thanks in advance.

eskbanker

Dellphillius said:

I'm looking at taking a small amount from my total balance and putting it into a Vanguard stocks and shares ISA. From what I've read I should have done this from last year's account before I transferred into a new one. Could someone please clarify if this is correct?

No, there's no need to transfer from last year's account, you can still do so from this year's account - the rule is that all current year money (for each ISA type) must be kept together, but you can do what you like with prior year money, even if it's since been transferred into a new account.

Make sure that you use Vanguard's ISA transfer process to enact this transfer - it's also dependent on both providers supporting partial transfers (not all do).

Dellphillius

eskbanker said:

Dellphillius said:

I'm looking at taking a small amount from my total balance and putting it into a Vanguard stocks and shares ISA. From what I've read I should have done this from last year's account before I transferred into a new one. Could someone please clarify if this is correct?

No, there's no need to transfer from last year's account, you can still do so from this year's account - the rule is that all current year money (for each ISA type) must be kept together, but you can do what you like with prior year money, even if it's since been transferred into a new account.

Make sure that you use Vanguard's ISA transfer process to enact this transfer - it's also dependent on both providers supporting partial transfers (not all do).

Many thanks for the prompt response and advice, really appreciated it.

That's good to hear. I'll investigate and see if they hopefully allow partials.

Thanks again, very helpful.