New ISA rules April 2024

Growingold

Barkin said:

Yup. The ISA Declaration - which was the only issue IMO - appears to have  been updated today, 12/4.

Yes declaration is now dated 12/04 .
Shawbrook has now become appealing again as you can add money to it throughout its fixed term.  Under the product summary it says   Please note that the Bank reserves the right to withdraw this product at any time. If the product is withdrawn, you can continue to put more money into your account until the expiry of the fixed term.

kuepper

If I open an ISA and transfer an other cash ISA into it and no new money, can I open another cash ISA and put new money into it?

refluxer

kuepper said:

If I open an ISA and transfer an other cash ISA into it and no new money, can I open another cash ISA and put new money into it?

Yes, you can.

You could, in theory, pay new subscriptions into both now that the ISA rule previously restricting that has changed, but it would appear from this thread (and others) that very few banks are up-to-speed with the rule changes (or are choosing to fight them) and this is causing confusion.

Kim_13

kuepper said:

If I open an ISA and transfer an other cash ISA into it and no new money, can I open another cash ISA and put new money into it?

That would have been a yes under the old rules, so you can certainly do so now that more than one ISA of each type is permitted by HMRC.

As the first has no new money, you should also be able to hold the transferred ISA and an ISA containing 2024/25 subscriptions with the same provider if you wish to do so (though double check that this applies for the provider you choose if taking this route.)

Beddie

jameslester78 said:

Beddie said:

TheWoodler said:

Quite. MrWoodler has his 2023-4 ISA with Shawbrook and when it matures he’ll be transferring it out as neither of us has the patience for this nonsense. As customers we can vote with our feet (or £)! 

That's an overreaction, don't you think? The reply above from Shawbrook shows they are still in a muddle with understanding the new rules. It can be safely be ignored, as they can have no say whatsoever on how many ISAs you open with other providers.

i dont think so, I just moved 85k out of hsbc on an unrelated matter because their out sourced Indian call centre were incapable of understanding the question I was asking around the bonus rate on my loyalty isa despite my rephasing of the question in simpler and simpler sentences 3 or 4 times. My thought process is if they cant understand a simple question, what happens if something actually important comes up.

Id 100% leave if I were TheWoodler, if they cant get it right, leave and let them know why

I agree with you, I wouldn't stay with a bank with poor service such as you received. The difference with TheWoodler is that they hadn't had any personal poor experience. They were basing it purely on what one stranger posted on the internet. Hence me saying it was an overreaction and the terms have been updated now, showing it was nothing to be concerned about.

TheWoodler

No, I actually said MrWoodler was similarly unimpressed. That’s *his* due diligence, not mine. Both he and I work in sectors where we know what it takes for compliance with legislation on day 1 and how much internal organisational cooperation, led from the top down, it takes to ensure that it happens. 

For us what’s happened at this particular organisation, in this instance, flags up not only questions of compliance, but also makes us consider institutional efficiency and attention to detail, given that their website still says the product is not for you if you want to save with someone else (even if they’ve now updated their other literature, which they’ve been slow in doing). Regardless of ISA regulatory changes, that’s quite a bold statement to publish on a website and still hasn’t been updated as of Saturday 13 @ 7pm.   

Quite a few people, on this thread and elsewhere, have been noting the organisation in question as one of the outliers here. Neither of us based our decisions on ‘one stranger posting on the internet’ as you claim, but on direct research into terms and conditions across various institutions live over the past week. 

I do wonder if it’s the challenges and chatter about this that have helped to bring about the update, as they have seemed particularly slow as it’s shaken down over the week. The power of the consumer and all that.  

I do my due diligence with reading terms and conditions and excised this particular bank from my list of possible ISA candidates for this year. My £20k is now already committed elsewhere. For MrW it’s his decision to make about transfer out.

For your information, being deaf, I know what it takes for me to bring a complaint against a financial organisation for errors and issues - usually compounded by accessibility issues (you may or may not be aware that there’s an accessibility equality duty laid on service providers by the Equality Act 2010, which is honoured as much in the breach as in the observance in my experience, and those of many other deaf & disabled people). So I usually end up adding not meeting the Equality Act to my original complaint and it being upheld in full on both counts. Believe me, it’s a hassle when things are stacked against you and that’s before you even get as far as a complaint. Thus I’d far rather avoid organisations that are likely to cause me an issue to start with by their policies or stances, and MrW is at liberty to conduct his own due diligence and make his own decisions as he sees fit. 

You and others are all at liberty to disagree with me or us, but it’s quite the assumption to assert that either I or my OH are basing decisions on the word of a single stranger in the internet! The point of this forum is to share experiences and that’s valuable in itself, or why are we all here? And any customer is free to make their decisions according to their values, ethics, needs, wants, perceptions and research without being berated by a ‘single stranger on the internet’. 

LightKnow

Am confused with Halifax ISA wording

Does the below mean - I can open only one cash ISA with them but still open with others
Or if I got cash ISA somewhere else, they won't allow to have cash ISA with them?


ISA rules allow you to pay into more than one cash ISA in each tax year but we only let you pay into one cash ISA with us 

Kim_13

LightKnow said:

Am confused with Halifax ISA wording

Does the below mean - I can open only one cash ISA with them but still open with others
Or if I got cash ISA somewhere else, they won't allow to have cash ISA with them?


ISA rules allow you to pay into more than one cash ISA in each tax year but we only let you pay into one cash ISA with us 

It’s the first.

This is the most common situation with providers at the moment - you can only open one Cash ISA with them, but are then free to open further Cash ISAs as you wish elsewhere within your allowance (it seems their systems are not yet set up to do otherwise.) So if you open a fixed with Halifax, you couldn’t then have an Easy Access with them. Halifax have applied the new rules entirely correctly, as the government allow providers to stipulate how many ISAs you can hold with them.

auser99

LightKnow said:

Am confused with Halifax ISA wording

Does the below mean - I can open only one cash ISA with them but still open with others
Or if I got cash ISA somewhere else, they won't allow to have cash ISA with them?


ISA rules allow you to pay into more than one cash ISA in each tax year but we only let you pay into one cash ISA with us 

That's what we're expecting is a reasonable position from providers - can have more than 1 Cash ISA in the year, but only 1 with them.
Some providers like Shawbrook and Kent seem to be implying they'll ask you to shut down the Cash ISA you hold with them if they find our you're also holding one elsewhere.

Growingold

auser99 said:

LightKnow said:

Am confused with Halifax ISA wording

Does the below mean - I can open only one cash ISA with them but still open with others
Or if I got cash ISA somewhere else, they won't allow to have cash ISA with them?


ISA rules allow you to pay into more than one cash ISA in each tax year but we only let you pay into one cash ISA with us 

That's what we're expecting is a reasonable position from providers - can have more than 1 Cash ISA in the year, but only 1 with them.
Some providers like Shawbrook and Kent seem to be implying they'll ask you to shut down the Cash ISA you hold with them if they find our you're also holding one elsewhere.

Shawbrook updated their ISA declaration on 12/04.  It now says:-                                                                                                                   • I have not subscribed, and will not subscribe, more than the overall subscription limit of £20,000 in total to any ISAs in the same tax year 2024/2025;