Transferring from flexible and non-flexible cash ISA

mt77

Can someone clarify if the following is possible to do this in this scenario:

I currently am with an ISA provider that offers a flexible cash isa type and where I am fully subscribed to the current cash ISA limit of £20,000.

If I were to withdraw some funds today from this flexible ISA provider (eg. £1,000 or £2,000) but then soon after change my ISA provider to another one that is non-flexible, would I still be able to re-add that £1,000 or £2,000 at some point later with the non-flexible cash ISA provider (providing it is within the same tax year?)

Ayr_Rage

No.

The money can only go back into the flexible ISA from which it has been withdrawn.

There is no cash ISA limit of £20,000 but I presume that actually means you have used your full allowance for this tax year.

mt77

Thanks. 

Yes, that's it, I have used my full allowance this year.

slinger2

As noted, the money needs to be replaced in the original flexible ISA. You could perhaps do a partial transfer, leaving the original flexible ISA open. eg withdraw £2k, transfer £17k of the remaining money to a new ISA. You could then replace the £2k in the original ISA since it would still exist.

mt77

That's good to know slinger2, thanks.

sdm1985

I was with TEMBO and had no idea about flexible and non-flexible cash ISAs, as I assumed that in the current tax year they were flexible, as you could have as many as you liked, but not exceed £20k.

TEMBO’s transfer in was delayed for a long time and I did not want to wait (losing money), so I withdrew £19,999, I have discovered today, that I now have no allowance left for 2025/26 and the £20,000 is back in my bank.

What is really concerning is that this information is not clearly explained to me, of course I did not want to lose my ISA allowance completely for 2025/26.

Has this happened to anyone else?

masonic

sdm1985 said:

I was with TEMBO and had no idea about flexible and non-flexible cash ISAs, as I assumed that in the current tax year they were flexible, as you could have as many as you liked, but not exceed £20k.

TEMBO’s transfer in was delayed for a long time and I did not want to wait (losing money), so I withdrew £19,999, I have discovered today, that I now have no allowance left for 2025/26 and the £20,000 is back in my bank.

What is really concerning is that this information is not clearly explained to me, of course I did not want to lose my ISA allowance completely for 2025/26.

Has this happened to anyone else?

Duplicate of https://forums.moneysavingexpert.com/discussion/comment/81472711/#Comment_81472711 where replies have been received.