Matured Isa and cash Isa

Walkandcoffee

I have a Isa with previous years subscriptions maturing shortly.
I have a cash Isa with a different provider for THIS years subscription, and have used all of my 20,000 allowance.
My plan was to open a new isa for the transfer in of maturing Isa with the same provider that holds it now.
Reading the small print they will not allow me to do this without also putting in my current year + transferred in matured Isa.
My current year provided will only allow transfers in within 30 days so that's also not an option.
Does anyone know of providers which will just allow a transfer in of a previous years matured Isa and allow me to have my current year Isa elsewhere.
I hope ive made my query clear😬
Thank you!

Ch1ll1Phlakes

Walkandcoffee said:

I have a Isa with previous years subscriptions maturing shortly.
I have a cash Isa with a different provider for THIS years subscription, and have used all of my 20,000 allowance.
My plan was to open a new isa for the transfer in of maturing Isa with the same provider that holds it now.
Reading the small print they will not allow me to do this without also putting in my current year + transferred in matured Isa.
My current year provided will only allow transfers in within 30 days so that's also not an option.
Does anyone know of providers which will just allow a transfer in of a previous years matured Isa and allow me to have my current year Isa elsewhere.
I hope ive made my query clear😬
Thank you!

Who is your current provider of your previous year ISA? As far as I know most ISA providers should be able to fund an ISA with only previous year contributions. A few make this "we also need your current year contributions" statement. I know Vida Savings do which put me off opening at account with them. 

refluxer

Walkandcoffee said:

.Reading the small print they will not allow me to do this without also putting in my current year + transferred in matured Isa.

Are you sure that's definitely the case ? It seems an unlikely requirement, considering that your current year's ISA subscriptions could easily be in a fixed rate ISA account where this would not be possible without paying a hefty penalty.

Is it possible you might have mis-interpreted their rules ? Some ISA providers insist that you can only open one cash ISA with them for current year subscriptions (so can't open multiple cash ISAs with them for that purpose) and some even insist that you must only pay current year subscriptions into an ISA with them and not spread it among multiple ISA providers (despite the ISA rules changing to allow this and this also being unenforceable !)

As suggested above, if you mention the provider then it's likely you'll be able to get some clarification on here as there will be plenty of forumites with experience of all the current providers.

Ch1ll1Phlakes

refluxer said:

Walkandcoffee said:

.Reading the small print they will not allow me to do this without also putting in my current year + transferred in matured Isa.

Are you sure that's definitely the case ? It seems an unlikely requirement, considering that your current year's ISA subscriptions could easily be in a fixed rate ISA account where this would not be possible without paying a hefty penalty.

Is it possible you might have mis-interpreted their rules ? Some ISA providers insist that you can only open one cash ISA with them for current year subscriptions (so can't open multiple cash ISAs with them for that purpose) and some even insist that you must only pay current year subscriptions into an ISA with them and not spread it among multiple ISA providers (despite the ISA rules changing to allow this and this also being unenforceable !)

As suggested above, if you mention the provider then it's likely you'll be able to get some clarification on here as there will be plenty of forumites with experience of all the current providers.

These are most commonly the case but I know Vida Savings on their applications forms make it clear than you have to transfer any current year subscriptions to them (yes I know doesn't really make sense) so it is possible. See the following.

kipsterno1

I don't read the above the same.

I read that if you are transferring funds from another ISA deposited in this year you have to transfer the full amount. If you are transferring funds from a previous year then you can choose full or partial.

I could be wrong but I thought it was one of the rules with ISA's that current year subscription had to be transferred in full.

FrugaiMacDugal

Walkandcoffee said:
My plan was to open a new isa for the transfer in of maturing Isa with the same provider that holds it now.

You should get a message, near maturity, with various options.

MACKEM99

I read it as.

If you want to transfer current year i.e. One opened since 6 April this year it has to be in full.

If you want to transfer previous years money in i.e. originally opened before 6 April this year then you can move part of it.  You should open an isa with new provider first then ask them to move previous years isa to them.

What will you do with the funds you are not transferring? Be careful not to lose isa protection for any part.

There are plenty of providers that will allow you to open new isa with them and then transfer an amount from a previous years isa from a different provider.

For example open new one with nottingham bs and transfer from leeds.  Not a recommendation just an example.

Ch1ll1Phlakes

kipsterno1 said:

I don't read the above the same.

I read that if you are transferring funds from another ISA deposited in this year you have to transfer the full amount. If you are transferring funds from a previous year then you can choose full or partial.

I could be wrong but I thought it was one of the rules with ISA's that current year subscription had to be transferred in full.

I've asked them explicitly and they say they require all current year subscriptions to be moved to them. The key bit is "Your current year subscriptions must be moved to us in full", not if you want to transfer, the if only applies to previous years. You can have an look at their applications page as unless you lie and say you have no current year subscriptions there is not option to say I don't want to transfer.

But anyway not trying to distract from OP's message, just wanted to not it is possible for organisations to have that rule in place.

Walkandcoffee

My matured Isa is with Barclays, I have accumulated numerous years and have reached my 85k protection. The current years provided is post office, I don't want to move this into Barclays as

1) Takes me over 85k protection

2) Post Office rate was better than new rate being offered.

3) Penalty for moving current year before maturity next April. 

This is the part that makes me think Barclays wont allow me to just move in my matured old years ISA

Ch1ll1Phlakes

Walkandcoffee said:

My matured Isa is with Barclays, I have accumulated numerous years and have reached my 85k protection.

Having a look at Barclays website, there's two flexible cash ISAs one for a year and 1 for 18 month. On the page for the 1 year ISA the following information is provided, of interest to you is the minimum balance.

Based on the fact it says when transferring you can have a minimum deposit of £0 I think you should be ok to transfer your matured ISA funds to this account, without having to transfer any of your current year subscriptions.

What seems to be the problem here is that the Flexible Cash ISA document which your screenshot came from is dated November 2020 (see below). The ISA rules have changed since then and the rules about having to transfer an ISA to Barclays if you've already subscribed to one this year, are now defunct as you can open, have and subscribed to more than one Cash ISA per tax-year.


I have heard previously of Barclays being slow to update their ISA rules but based on the current rules they shouldn't be able to force you to move current year ISAs to them, if you're only wanting to fill this ISA with old subscriptions. However, just to be on the safe side I would contact Barclays directly to check if their rules have been updated.

Sorry this is a bit long but hope it helps.

Walkandcoffee

Thanks Ch1ll1Phlakes 
It does still say this in the declaration they've sent me,  and I will make an appointment at a Barclays Hub(.. local branch closure 🙄..) to verify, its just where to put the money if they say it's correct, and I can't go ahead with my original plan, I wanted to try and get 1 step ahead as my husband will have the same problem too.