Help to buy ISA and Cash ISA

AFC_King

Can someone help me get a definitive answer please because I've seen conflicting responses. I have a help to buy ISA that i've been paying into for years (plus a small stocks ISA that i opened this year). Am I able to open a cash ISA this tax year too? I always thought you couldn't but NatWest seemed to imply you can have both in a tax year. Which one is right?

wmb194

AFC_King said:

Can someone help me get a definitive answer please because I've seen conflicting responses. I have a help to buy ISA that i've been paying into for years (plus a small stocks ISA that i opened this year). Am I able to open a cash ISA this tax year too? I always thought you couldn't but NatWest seemed to imply you can have both in a tax year. Which one is right?

Yes, no problem. You just need to be careful to keep to your annual allowance across all the accounts.

If you decide to ditch the HTB Isa you can transfer it into a normal cash or S&S Isa and keep the allowance you've built up.

AFC_King

wmb194 said:

AFC_King said:

Can someone help me get a definitive answer please because I've seen conflicting responses. I have a help to buy ISA that i've been paying into for years (plus a small stocks ISA that i opened this year). Am I able to open a cash ISA this tax year too? I always thought you couldn't but NatWest seemed to imply you can have both in a tax year. Which one is right?

Yes, no problem. You just need to be careful to keep to your annual allowance across all the accounts.

If you decide to ditch the HTB Isa you can transfer it into a normal cash or S&S Isa and keep the allowance you've built up.

Thank you

AFC_King

The plot thickens. I just went into the bank today to discuss it with them but the worker I had seemed to claim that the "government classes help to buy as a cash ISA" so I couldn't open it. (albeit she didn't seem to know herself and looked like she just googled it). I'm even more confused now.

eskbanker

AFC_King said:

The plot thickens. I just went into the bank today to discuss it with them but the worker I had seemed to claim that the "government classes help to buy as a cash ISA" so I couldn't open it. (albeit she didn't seem to know herself and looked like she just googled it). I'm even more confused now.

A Help to Buy ISA is a cash ISA, so she's correct.

There is no longer any rule preventing funding of multiple cash ISAs within a tax year, but individual providers may have their own terms precluding this.  However, if NatWest allow this then obviously you shouldn't have been refused and may need to go back and speak to someone who knows what they're talking about, or just do it online, or go elsewhere....