ISA and savings advice

ianndan

This is not my strong point, so probably a stupid question but I’m going around in circles. 

I earn under 50k per year (part time salary and NHS Pension combined) 

I have an easy access Savings account (around 4.5% interest) with aprox £75k in it. 

I’ve got a NS&I cash ISA  opened in 2019. It has almost 20k in it, about 18k deposited in this current tax year. 

Should I open another ISA and take money from my savings account to put into it? Do I do that before April 5th or do I wait until after April 5th? 

I don’t want to lock money away, hoping to move home within the next year and want easy access to money if I need it. 

I’m a bit paranoid on getting things wrong. 

eskbanker

ianndan said:

I’ve got a NS&I cash ISA  opened in 2019. It has almost 20k in it, about 18k deposited in this current tax year. 

Should I open another ISA and take money from my savings account to put into it? Do I do that before April 5th or do I wait until after April 5th?

You only have £2K remaining ISA allowance in this tax year, and can only pay that into the same ISA you've already funded.

Once the new tax year starts, you can pay £20K in, either to the same one or a different one.

ianndan

Thank you eskbanker! I think it’s worth, in the new tax year finding another ISA with higher interest than NS&I. Thank you for your speedy reply, much appreciated. 

Beddie

ianndan said:

Thank you eskbanker! I think it’s worth, in the new tax year finding another ISA with higher interest than NS&I. Thank you for your speedy reply, much appreciated. 

Yes, that's a good idea. Open a new ISA on/after 6th April - that accepts transfers - put in £20k and transfer the NS&I one to it. The latest rates are here:

https://moneyfactscompare.co.uk/isa/easy-access-cash-isas/?quick-links-first=false - always click "rate order."