Moving a Flexible pot between providers

savit4l8er

Currently thinking there are two ways to do this.

Let's say there is flexi ISA provider A, flexi ISA provider B and bank C. None of this year's allowance has been used and it's cash ISA's.

Using an arbitrary figure, £50k can be repaid this tax year into provider A. I would like to move this flexible facility to provider B.

Option 1.
Send £50k from non ISA bank C to ISA A.  Request ISA provider B transfer the same by filling out their form.  The £50k moves to provider B.  I then withdraw from B to bank C. That effectively means the flexibility is now with ISA provider B and can be repaid when ready during this tax year. 

Option 2
Send a smaller amount from bank C to A, say £20k. Again instruct B to transfer the funds.  Witdraw funds from B to bank C.  Repeat process again for £20k and then do the same for £10k.
This reduces the flexible top up pot of A each time and builds the £50k flexible pot at B.

Option 1 can be done but option 2 is preferred.  Is there anything to stop that working or any other ideas?  

masonic

Either option is valid. You just need to make sure that if current year subscriptions are involved, those are moved in whole and not in part, which in your case is not an issue if current year allowance hasn't been used.

savit4l8er

masonic said:

Either option is valid. You just need to make sure that if current year subscriptions are involved, those are moved in whole and not in part, which in your case is not an issue if current year allowance hasn't been used.

Thank you, that's very reassuring to here from your goodself. 😊

I would rather not have to do it but because of rates and fscs limits, it's going to be the best option.

Thank you again for your kind response.