Transfer or Withdraw

Growingold

Hi I am a little confused.

If I have a flexible Cash ISA with one of the banks and I wish to open a Fixed Rate ISA with the same bank using some of this money do I transfer the money or withdraw and then invest?

If I transfer,  then does the money transferred lose its flexible status and so cannot be replaced from where it it has been transferred?  If I withdraw then reinvest then it will keep its flexible status.  Easier to just transfer but not if I lose the ability to repay this money back to its original ISA.

Thanks

smithwilfer1

If you transfer the money, it  retains its flexible status. it's always best to double-check with your bank to ensure you understand their specific policies and potential implications before making a decision.

Reed_Richards

How much new money will you have to invest in ISAs this tax year, the one that began yesterday?  If it's not something close to the maximum £20,000 then it may not make any difference what you do.

slinger2

Some banks/building societies run a "portfolio cash ISA" system. In this system there can be multiple accounts within a single ISA, so moving money between such accounts doesn't count as an ISA "transfer" in the normal sense.