How does an ISA work?

tony3619

Hello, 

I'm looking at a Barclays 1 year flexible ISA and currently only have a standard savings account. 

I notice the account pays a fixed rate until maturity and then the account reverts to s instant access ISA. 

Could I change this to a different fixed rate barclays ISA in a year's time? Or would I open a new ISA?

Dazed_and_C0nfused

tony3619 said:

Hello, 

I'm looking at a Barclays 1 year flexible ISA and currently only have a standard savings account. 

I notice the account pays a fixed rate until maturity and then the account reverts to s instant access ISA. 

Could I change this to a different fixed rate barclays ISA in a year's time? Or would I open a new ISA?

You could do either.

But to retain the tax advantages you would need to transfer the funds from Barclays ISA to a new one.

If you withdrew the money and paid it into a new one that would be classed as new money and would mean you couldn't open another new (cash) ISA.

A transfer isn't new money so you could still open a new one (if needed).

Albermarle

tony3619 said:

Hello, 

I'm looking at a Barclays 1 year flexible ISA and currently only have a standard savings account. 

I notice the account pays a fixed rate until maturity and then the account reverts to s instant access ISA. 

Could I change this to a different fixed rate barclays ISA in a year's time? Or would I open a new ISA?

If you scroll through the forum, you will see lots of questions and answers regarding ISA's. You will soon be an expert!