Interest from ISA?

WhoisDannie

I put £20,000 in my first ISA, taken from my Santander savings account, and have just had the first months interest paid, taking the balance over £20,000.
I thought I would have had to wait a year.

Should I withdraw the interest or will I get interest on the  interest?

wongataa

Don't withdraw the money.  You will get interest on the interest.  You can have more than £20,000 in an ISA, you just can't pay in more than £20,000 into a cash ISA in a single financial year.  Interest is not money you pay in.

ColdIron

The interest will compound

The £20,000 restriction is for new money put into the ISA and not how much money is in the ISA

WhoisDannie

OK thanks.
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