Options with two Cash ISA products (same provider but differing maturity)

SilverSmith_2

I have two separate cash ISAs with one provider that mature on different dates (end of May and end of October).

The first has already been rolled over between one-year products this year but no money has been added to either product this year.

Given the rapidly rising interest rates, the one that rolled over in May is returning peanuts so trying to merge the other into that one would be a bad move.

Ideally I want to be able to take the October maturing account to another provider... but I think that may break the rules.

Can anyone help me understand my options?

eskbanker

SilverSmith_2 said:

no money has been added to either product this year

....which means that you can do what you like with them, without constraint, moving one or both to other providers (who accept transfers) if you wish.

refluxer

If I've read that right, you currently have two Fixed Rate Cash ISAs on the go - one that matures at the end of this month and one that matures in May 2023 and you haven't paid money from the current tax year into either ? 

As the Fixed Rate ISA that matures at the end of this month is so close to it's maturity date, you might as well wait until that matures and then you'll be able to transfer that into whichever ISA you choose (either with the same or a different bank) without paying a penalty. 

As for the Fixed Rate ISA that matures in May 2023, you first need to find out what the transfer penalty would be (check the T&Cs) and then compare the current rate with what else is currently available. If you're not sure how to work that out, then give some details (maturity date, transfer penalty and current rate) and we should be able to give you some figures that may help you to decide.

SilverSmith_2

Thanks for both responses.

So, I'm not tied to the current products by the general rules of Cash ISAs because I haven't contributed additional funds, the roll-over to a new annual product in May doesn't affect that. However, I need to pay attention to the product conditions to see the best approach.

Thanks too for the offer of help with the calculations, it was only the rules I was fuzzy about, I can do the maths.

I'll do some research in preparation to act at the end October.