Transferring Last Year Moneybox LISA to AJ Bell S&S

123imp

Hi all, thanks in advance for your help.

I opened a LISA with Moneybox last financial year, put 4k in and got the 1k bonus.

I want to open a S&S LISA with AJ Bell for this financial year, but 4k in and get the 1k bonus. And then I also want to transfer in the LISA with Moneybox, so I have them both with AJ Bell as S&S LISA.

Can I do this, and would I retain last years tax free allowance?

Would they both go into the same account on AJ Bell, or would they appear as separate?

Thanks.

eskbanker

123imp said:

I opened a LISA with Moneybox last financial year, put 4k in and got the 1k bonus.

I want to open a S&S LISA with AJ Bell for this financial year, but 4k in and get the 1k bonus. And then I also want to transfer in the LISA with Moneybox, so I have them both with AJ Bell as S&S LISA.

Can I do this

Yes, you can transfer a S&S LISA from Moneybox to AJ Bell.

123imp said:

and would I retain last years tax free allowance?

I don't know exactly what you mean by this, but the tax-free status of the transferred money is preserved and you also have this year's £4K allowance.

123imp said:

Would they both go into the same account on AJ Bell, or would they appear as separate?

Since you'd open the new LISA and then transfer into it, it's all just one account once the transfer is complete.

123imp

eskbanker said:

123imp said:

I opened a LISA with Moneybox last financial year, put 4k in and got the 1k bonus.

I want to open a S&S LISA with AJ Bell for this financial year, but 4k in and get the 1k bonus. And then I also want to transfer in the LISA with Moneybox, so I have them both with AJ Bell as S&S LISA.

Can I do this

Yes, you can transfer a S&S LISA from Moneybox to AJ Bell.

123imp said:

and would I retain last years tax free allowance?

I don't know exactly what you mean by this, but the tax-free status of the transferred money is preserved and you also have this year's £4K allowance.

123imp said:

Would they both go into the same account on AJ Bell, or would they appear as separate?

Since you'd open the new LISA and then transfer into it, it's all just one account once the transfer is complete.

Thanks a lot for this. 

As it's a cash LISA with Moneybox, can I still transfer it to an S&S LISA with AJ Bell?

Also, when transferring the money, would I retain £1000 government bonus - probably a stupid question.

Finally, with regards to the S&S LISA, do you know how it works in terms of the 25% bonus? Would the bonus be applied right at the end of the tax year, and be 25% of whatever I deposited that tax year up to £4000? And if I deposit £4000, but then my investment loses money, would the 25% bonus be based on whatever was in the account when the bonus is applied?

Thanks.

eskbanker

123imp said:
As it's a cash LISA with Moneybox, can I still transfer it to an S&S LISA with AJ Bell?

I believe so, https://www.ajbell.co.uk/lifetime-isa/transferring-into-a-lifetime-isa doesn't specify any restriction that they only accept transfers of specific LISA subtypes.

123imp said:Also, when transferring the money, would I retain £1000 government bonus - probably a stupid question.

Yes, the bonus is now part of your LISA balance, and isn't kept separate in any way.

123imp said:
Finally, with regards to the S&S LISA, do you know how it works in terms of the 25% bonus? Would the bonus be applied right at the end of the tax year, and be 25% of whatever I deposited that tax year up to £4000? And if I deposit £4000, but then my investment loses money, would the 25% bonus be based on whatever was in the account when the bonus is applied?

Bonuses are calculated as 25% of the amount deposited, and are added to the account within 4-8 weeks of the deposit being made, rather than at the end of the tax year.

123imp

eskbanker said:

123imp said:
As it's a cash LISA with Moneybox, can I still transfer it to an S&S LISA with AJ Bell?

I believe so, https://www.ajbell.co.uk/lifetime-isa/transferring-into-a-lifetime-isa doesn't specify any restriction that they only accept transfers of specific LISA subtypes.

123imp said:Also, when transferring the money, would I retain £1000 government bonus - probably a stupid question.

Yes, the bonus is now part of your LISA balance, and isn't kept separate in any way.

123imp said:
Finally, with regards to the S&S LISA, do you know how it works in terms of the 25% bonus? Would the bonus be applied right at the end of the tax year, and be 25% of whatever I deposited that tax year up to £4000? And if I deposit £4000, but then my investment loses money, would the 25% bonus be based on whatever was in the account when the bonus is applied?

Bonuses are calculated as 25% of the amount deposited, and are added to the account within 4-8 weeks of the deposit being made, rather than at the end of the tax year.

You've been so helpful, thanks a lot for that.