Moving Money from Santander Help2Buy into Plum LISA

CWals1297

Hi all, 

First post! Looking for some clarification about a move I'm looking to make. 
I have £11,600 in a help to buy ISA, and plan to move it all over to a Plum LISA over the next three tax years. 

Plum do not support transfers from Santander Help2Buy ISAs, and so here are my questions:
- Could I not manually make a payment into the LISA directly from the H2B account? 
- Would there be any tax or bonus implications if I did so? 

I believe I am tripping up over the differing uses of 'transfer' and 'payment', and worrying about whether the difference in language could result in any unforeseen negative outcomes. 

Any thoughts welcome!

eskbanker

The general advice is to use the ISA transfer process, but it can be sensible to withdraw and redeposit sometimes - how much use are you planning to make of your £20K annual ISA contribution allowance this year and the next two?

masonic

As alluded to above, the only implication is consumption of £4k out of your £20k annual allowance, which could be avoided using a formal ISA transfer. If this isn't a concern (as you won't use up the other £16k) then the manual route can be preferable.