We want to hear about your Lifetime ISA (LISA) experiences

eskbanker

adwils said:

I had my benefits sinificantly reduced by having a LISA - deemed as savings in the UC calculation.

Well that is what the 'S' stands for!

LL_USS

I've been searching for how to convert my cash LISAs to S&S, asking questions in this forum https://forums.moneysavingexpert.com/discussion/6434876/lisa-for-an-over-40/. My LISAs are planned for retirement. My experience is: (1) it has few options of providers, (2) difficult to move around between options. As I have filled my allowance of 4K for this year, I'll try to open a new LISA with Dodl S&S LISA and transfer the existing ones over in the new financial year.

I've just helped my 18-year-old son to set up an S&S LISA on Dodl for him, only minimum amount at the moment. Partly this is because of FOMO (don't know how long this LISA still fits for purpose and may be pulled by the government). Partly is because this is the start for him to try to think about saving for pension (LISA is more flexible and less succumbed to government's changing pension policies, I suppose)

Alexland

LL_USS said:

As I have filled my allowance of 4K for this year, I'll try to open a new LISA with Dodl S&S LISA and transfer the existing ones over in the new financial year.

Interesting so are you saying that Dodl don't have the ability to open a LISA for the purposes of starting a transfer without requiring you to make a contribution which you are obviously unable to do having used your allowance? If so have you tried raising this issue with them? I've been contributing to my LISA long enough that it's cheaper to hold on the main AJ Bell platform where the capped fee and occasional trades work out under 0.10% pa.

LL_USS

@Alexland glad to see you back. I have only had cash LISAs to date and for over 40s I think I can only choose Dodl. I asked Dodl a few questions but more about the arrangement to pay the fee. I'll ask them again, perhaps I just assumed I would not be able to "just transfer" for now. Thank you.

dizzle1334

I have been savings into a LISA for 6 years with moneybox. I've always had good experiences with them and its good to see stories where getting the funds released with them hasn't been too troubling compared to other providers.
I now live with my girlfriend who owns her own house and we are happy here, not looking to move anytime soon.

I'm not entirely sure what to do with my LISA now, If there is anyway of buying into her house with my LISA when it is up for remortgage, or if i just eventually have to just take a penalty to get my money out as i am still around 30 years from retirement. 

I've been very happy with my LISA, but it can be very confusing in terms of what i can do with it if not straight up buying my own property for the first time and also the penalty of my own money seems very harsh

eskbanker

dizzle1334 said:

I have been savings into a LISA for 6 years with moneybox. I've always had good experiences with them and its good to see stories where getting the funds released with them hasn't been too troubling compared to other providers.
I now live with my girlfriend who owns her own house and we are happy here, not looking to move anytime soon.

I'm not entirely sure what to do with my LISA now, If there is anyway of buying into her house with my LISA when it is up for remortgage, or if i just eventually have to just take a penalty to get my money out as i am still around 30 years from retirement. 

I've been very happy with my LISA, but it can be very confusing in terms of what i can do with it if not straight up buying my own property for the first time and also the penalty of my own money seems very harsh

Asked and answered in your own thread yesterday!

https://forums.moneysavingexpert.com/discussion/6592460/using-a-lisa

phdstruggler

I started saving in LISA with Tembo, who are absolutely fantastic by the way! 

After loading a few £250s and then a whole £1,000, my mum decided to reveal that when I was 4 years old, we moved to a new house and they wrote me as a part-owner of it. I was 4, it was back in Ukraine, and the house is long sold. Nor me or my mum have owned a property since then. So, now I can’t use LISA for a house as I am not classed as a “first time buyer”. I’m still fuming…

If I withdraw the money now to use it for a house as cash, I will lose around £150 in addition to the bonus of course, which is not horrible, but still very unfair I think.

Do we know if the rules may change in the future, and perhaps I should keep the money there for now and maybe by some miracle it will change? I won’t need it for another year or so. There’s also 45 day lead time for withdrawal. 

masonic

phdstruggler said:

I started saving in LISA with Tembo, who are absolutely fantastic by the way! 

After loading a few £250s and then a whole £1,000, my mum decided to reveal that when I was 4 years old, we moved to a new house and they wrote me as a part-owner of it. I was 4, it was back in Ukraine, and the house is long sold. Nor me or my mum have owned a property since then. So, now I can’t use LISA for a house as I am not classed as a “first time buyer”. I’m still fuming…

If I withdraw the money now to use it for a house as cash, I will lose around £150 in addition to the bonus of course, which is not horrible, but still very unfair I think.

Do we know if the rules may change in the future, and perhaps I should keep the money there for now and maybe by some miracle it will change? I won’t need it for another year or so. There’s also 45 day lead time for withdrawal. 

Answered in your own thread: https://forums.moneysavingexpert.com/discussion/6598085/lisa-first-time-buyer-rule

jal-money

Just posting to see what others think and more importantly if anyone has done similar before.
My husband and I are first time buyers, we intended to buy in cash, but just discovered 10 days before we were meant to complete that to use our LISA’s we needed a mortgage.
The GOV website does not say any minimum value for the mortgage and Money Saving Expert has a section saying there is no minimum value the mortgage needs to be.
Through my bank I have started an application which is due to be finalised tomorrow before being run through checks at the bank, where there is no minimum value the mortgage must be. 

This sounds crazy, but we’re enquiring about our mortgage loan being £150. 

The product being offered gives us £300 cashback, no set-up fee’s and will cost £7.50 for the early repayment fee once everything is done.

Although I have read that there is no minimum value required to utilise the LISA, has anyone else ever had such a low mortgage when using one? Or such a low mortgage in general and did they run into any problems? 

Thank you 

fistfulofsteel

jal-money said:

Just posting to see what others think and more importantly if anyone has done similar before.
My husband and I are first time buyers, we intended to buy in cash, but just discovered 10 days before we were meant to complete that to use our LISA’s we needed a mortgage.
The GOV website does not say any minimum value for the mortgage and Money Saving Expert has a section saying there is no minimum value the mortgage needs to be.
Through my bank I have started an application which is due to be finalised tomorrow before being run through checks at the bank, where there is no minimum value the mortgage must be. 

This sounds crazy, but we’re enquiring about our mortgage loan being £150. 

The product being offered gives us £300 cashback, no set-up fee’s and will cost £7.50 for the early repayment fee once everything is done.

Although I have read that there is no minimum value required to utilise the LISA, has anyone else ever had such a low mortgage when using one? Or such a low mortgage in general and did they run into any problems? 

Thank you 

I'd be very interested to hear how you get on. I have a huge amount of money stuck in a LISA and am about to buy into my partner's house. I assumed I wouldn't be able to get a mortgage (and therefore forced to buy in cash, which I have the funds to do) due to having very little recent income, but if the mortgage can be so tiny surely someone would lend it to me?