H2B vs Cash ISA 30 November 2022 at 11:56AM in ISAs & tax-free savings 1 reply 51 views

calza96

Hello, I've been paying into a H2B ISA for around 3-4 years with Nationwide

I realistically don't believe I will get the benefit of it now given the current house prices & the criteria for redemption

I have thought about opening a cash ISA with Virgin Money with a higher interest rate - however not sure if this is possible due to the ISA rules, could you please clarify my options

thank you 

 

eskbanker

Assuming you won't be buying for at least a year, have you considered shifting the money to a Lifetime ISA instead?  It can only be done at £4K per tax year but offers a higher property value cap of £450K outside London:

https://www.moneysavingexpert.com/savings/lifetime-isas/