Interest on Savings  is it projected?
doriangray23
Posts: 7
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I'm looking at a new account with a better interest rate.
Interest is paid on 31st March. If I put in £21,000 yesterday, I'd get £252 in March.
Obviously, £252 is less than £1000 (my PSA). However, if this was projected then I'd be over the 1000 limit (because a year's interest would equate to £1008).
Can I put £21,000 in now  earn good interest in March, and then move the money to an ISA in April before that interest builds up over the new tax year?
Interest is paid on 31st March. If I put in £21,000 yesterday, I'd get £252 in March.
Obviously, £252 is less than £1000 (my PSA). However, if this was projected then I'd be over the 1000 limit (because a year's interest would equate to £1008).
Can I put £21,000 in now  earn good interest in March, and then move the money to an ISA in April before that interest builds up over the new tax year?
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doriangray23 said:I'm looking at a new account with a better interest rate.
Interest is paid on 31st March. If I put in £21,000 yesterday, I'd get £252 in March.
Obviously, £252 is less than £1000 (my PSA). However, if this was projected then I'd be over the 1000 limit (because a year's interest would equate to £1008).
Can I put £21,000 in now  earn good interest in March, and then move the money to an ISA in April before that interest builds up over the new tax year?Assuming the new account isn’t fixed rate/fixed term. If it is, then you’ll almost certainly be unable to withdraw any until the term expires.But you can only pay £20k into an ISA each tax year2 
badger09 said:doriangray23 said:I'm looking at a new account with a better interest rate.
Interest is paid on 31st March. If I put in £21,000 yesterday, I'd get £252 in March.
Obviously, £252 is less than £1000 (my PSA). However, if this was projected then I'd be over the 1000 limit (because a year's interest would equate to £1008).
Can I put £21,000 in now  earn good interest in March, and then move the money to an ISA in April before that interest builds up over the new tax year?Assuming the new account isn’t fixed rate/fixed term. If it is, then you’ll almost certainly be unable to withdraw any until the term expires.
You assume correctly  thank you for your help0 
Interest is not projected; it's almost always calculated daily, and then paid at certain frequencies on specific dates. No institution is going to pay you a year's worth of interest after only holding your money for 3 months; if they miraculously did, you're much better off receiving £1,008 instead of just £252.1

If you have not maxed out this years ISA allowance, then do that
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