Virgin Money ISA statement question

RG2015

I have a question on my Virgin Money easy access flexible ISA statement.

I have been using this account to fund to some current accounts to satisfy my monthly pay in requiements, along with other payments. Any remaining balance is then moved back into the VM ISA.

However, this month I have noticed that the VM statement lists the credits before the debits. Hence the running balance shows a higher figure than the day's closing balance.

This month's statement shows a balance £1,050.00 higher than my opening balance on 6th April 2025.

Does this mean that I have inadvertently used £1,050 of my 2025/2026 ISA allowance?

eskbanker

Are you able to tot up all credits and debits made since 6 April to validate the statement?

RG2015 said:

This month's statement shows a balance £1,050.00 higher than my opening balance on 6th April 2025.

Does this mean that I have inadvertently used £1,050 of my 2025/2026 ISA allowance?

Edit: do you mean that there's a closing balance that's £1,050 above 6 April or simply that it reached that high water mark temporarily at some point during the month, by virtue of how it sequences credits and debits?

RG2015

eskbanker said:

Are you able to tot up all credits and debits made since 6 April to validate the statement?

RG2015 said:

This month's statement shows a balance £1,050.00 higher than my opening balance on 6th April 2025.

Does this mean that I have inadvertently used £1,050 of my 2025/2026 ISA allowance?

Edit: do you mean that there's a closing balance that's £1,050 above 6 April or simply that it reached that high water mark temporarily at some point during the month, by virtue of how it sequences credits and debits?

The statement shows a temporary high water mark on one day.The closing balance on that day remains lower than the 6 April opening balance.

If it had been a temporary high at the end of any day during the month, I would have assumed that this would constitute a 2025/2026 subscription.

Edit: I missed the first bit. The statement is valid, I am merely questioning the temporary high balance on the statement during the day.

And yes, it the (incorrect) sequencing of the debits and credits during the day that I am questioning.

eskbanker

I think I see what you're getting at but it doesn't matter anymore, now that current year subscriptions can be made to any number of ISAs of the same type - flexible ISAs are reported to HMRC on a net subscription basis, so even if you did notionally pay in £1,050 before withdrawing it all again, that's still a zero net subscription.

Or are you concerned that using the VM ISA in this way having also paid in £20K elsewhere could technically fall foul of the regulations?  If so, if this is just a quirk of VM's statement presentation, rather than actually having any net current year money in it at any point, then you're not doing anything wrong....

RG2015

Thanks, and I see that I am safe for two reasons.

I also have another question on the flexible ISA net subscription rules.

Is this net subsciption taken for the whole tax year irrrespective of any higher balances during the year?

How would HMRC know how much I had had in all of my ISAs during the year if I just managed the closing balances at 5 April?

eskbanker

Yes, the reporting is annual, so I'm not sure that HMRC would necessarily know if you breached the rules during the year and 'corrected' this by year end, but that's obviously not recommended....

RG2015

Yes indeed. I also wonder whether Virgin Money would treat this £1,050 as new money?

Hypothetically, if they or their systems treated it as new money then any withdrawal would take this amount before any money brought forward.

eskbanker

RG2015 said:

Yes indeed. I also wonder whether Virgin Money would treat this £1,050 as new money?

Hypothetically, if they or their systems treated it as new money then any withdrawal would take this amount before any money brought forward.

But if I understood you correctly, there isn't a point where in reality you've made a net contribution of current year money, i.e. you're withdrawing before redepositing, despite how they choose to present the statements?  Presumably the balance is shown correctly in real time (via web/app/whatever) when withdrawing and the redepositing in that order?

RG2015

Correct, I was merely speculating.