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Re: Cash isa question

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Hi folks, i would like to ask a serious question that is causing me some confusion about cash isa's. is anyone able to answer this:-
Last tax year i opened a cash isa with Trading 212 on the recommendation of this site. i put in the full amount. Over the course of the year money was withdrawn to approximately half. Now, this tax year my app says i can backfill last years isa then use this years full allowance to increase my isa. this is not my understanding of an isa. Any thoughts? app wrong? i misunderstand my options?

Comments

  • FrugaiMacDugal
    FrugaiMacDugal Posts: 231 Forumite
    100 Posts Photogenic First Anniversary Name Dropper
    edited 6 August at 2:08PM
    Some 'flexible' ISAs allow you ro replace withdrawn money, but I think it has to be done in same tax year, check tour T&Cs.
  • clairec666
    clairec666 Posts: 329 Forumite
    100 Posts Name Dropper
    If you withdraw the money in the previous tax year (i.e. up to 5/4/25) then you shouldn't be able to replace your money

    Trading 212 have recently updated things so that your "replaceable funds" are shown separately from this year's £20000 allowance. This should in theory only include money withdrawn in this tax year. It's possible that they've got things wrong and are incorrectly including previous year's withdrawals, in which case they need to correct the issue so that people don't get confused and put too much money in!
  • badger09
    badger09 Posts: 11,605 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Hi folks, i would like to ask a serious question that is causing me some confusion about cash isa's. is anyone able to answer this:-
    Last tax year i opened a cash isa with Trading 212 on the recommendation of this site. i put in the full amount. Over the course of the year money was withdrawn to approximately half. Now, this tax year my app says i can backfill last years isa then use this years full allowance to increase my isa. this is not my understanding of an isa. Any thoughts? app wrong? i misunderstand my options?
    The dates of your withdrawals are important. 
    Any money withdrawn since 6th April 2025 can be replaced (in the same ISA) by 5th April 2026 without affecting your current year £20k allowance. 
    Any money withdrawn before 5th April 2025 cannot now be replaced but would be treated as part of this year’s allowance. 
  • badger09 said:
    Hi folks, i would like to ask a serious question that is causing me some confusion about cash isa's. is anyone able to answer this:-
    Last tax year i opened a cash isa with Trading 212 on the recommendation of this site. i put in the full amount. Over the course of the year money was withdrawn to approximately half. Now, this tax year my app says i can backfill last years isa then use this years full allowance to increase my isa. this is not my understanding of an isa. Any thoughts? app wrong? i misunderstand my options?
    The dates of your withdrawals are important. 
    Any money withdrawn since 6th April 2025 can be replaced (in the same ISA) by 5th April 2026 without affecting your current year £20k allowance. 
    Any money withdrawn before 5th April 2025 cannot now be replaced but would be treated as part of this year’s allowance. 
    That's the answer to this problem in a nutshell. Thank you for clearing that up for me. Thank you to all of you for your support.
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