LloydsTSB Fixed rate Isa 6.5%

frankie

After reading threads on problems transferring to Lloyds FRISA, I went into my local branch this morning to check on my ISA transfer progress. They checked on their system, I instigated the transfer on 7 March, they notified B&B on 12 March.

So in my case it seems Lloyds were fairly on the ball in the transfer request. I guess B&B now have 30 days to transfer funds and then it rtemains to be seen how long it takes Lloyds to bank the funds into the new ISA!

The manager in my branch said should allow 5 weeks for an ISA transfer. If Only!! I laughed.

Geoffo_M

Cappsy wrote: »

Received YBS letter confirming the transfer out on 17th. Money showing in LTSB online banking this morning 28th. No news yet on backdating interest but looks like I've been relatively fortunate.

That's good news Cappsy. I have almost identical circumstances in that mine was also confirmed by YBS on the 17th March - but nothing showing in my LTSB as yet.

Geoff

Edit:
Just checked again and it's there! It wasn't there this morning. Think I've been fortunate also.

crockett_2

I opened a FRISA yesterday in branch, I am already starting to regret my decision already. The Advisor had no knowledge about the product and suggested to me the transfer from two different providers would be completed in a few days! The form the advisor completed has several errors including my nationality, the exact amount I want to transfer and apparently I am deposting an amount well above the £3000 limit for this year! I think I had distracted her from her main task i.e. selling me unwanted financial products.

SalsaDanca

dennisthemenace wrote: »

I have just opened the Lloyds 6.5% fixed rate ISA for £9000 or above.

Currently I hold 2 others ISA's. One for this year (Barclays) and one for the previous year (NS&I).

I opened the new Lloyds ISA for the new financial year (2008-2009). My question is have I broken any laws in doing this. I have not put any money in the Lloyds one yet. I am worried that I have committed fraud by opening 2 ISA's (the Barclays and the Lloyds one)in the same year, even though I have no intenton of putting any funds in to the Lloyds one until after April 6th.

Secondly, if this is all above board. At what stage do i transfer in from the Barclays and NS&I. I assume I have to wait until after April 6th so that I get the full tax benefits from this year.

Hi Dennis,

You haven't done anything wrong by opening more than one ISA in a tax year. You can only pay money into one mini cash ISA in a tax year, but you can open a new ISA account and transfer existing ISAs to the new account whenever you like.

However, the terms and conditions for the Lloyds Fixed Rate ISA say that you should have transfered your Barclays ISA for this tax year to the Lloyds ISA when you applied for the account.

The terms also say that you can't request transfers once the account has been opened, but someone at Lloyds told me that this could be done and sent me some additional transfer forms. I've completed them and sent them back, but I haven't had a response yet. I would be interested to hear from anyone else who has attempted a transfer to the Lloyds Fixed Rate ISA after opening it.

Regards,

Rob

[Deleted User]

Geoffo_M wrote: »

That's good news Cappsy. I have almost identical circumstances in that mine was also confirmed by YBS on the 17th March - but nothing showing in my LTSB as yet.

Geoff

Edit:
Just checked again and it's there! It wasn't there this morning. Think I've been fortunate also.

After reading this post, as my ISA was closed on 18th March, (mine was with Icesave) I thought I d check and its finally appeared

Thank god - especially at some point I got told that the cheque had got lost.

So that would make them 5 working days paying in backlog ?!?

Geoffo_M

chr_is wrote: »

After reading this post, as my ISA was closed on 18th March, (mine was with Icesave) I thought I d check and its finally appeared

Thank god - especially at some point I got told that the cheque had got lost.

So that would make them 5 working days paying in backlog ?!?

That's a relief Chris - we can relax a bit now. I think in the end everyone who is fretting now will find their funds secure and earning interest. Wonder when our backdated interest will be credited.

Geoff

[Deleted User]

Geoffo_M wrote: »

That's a relief Chris - we can relax a bit now. I think in the end everyone who is fretting now will find their funds secure and earning interest. Wonder when our backdated interest will be credited.

Geoff

Yep time to relax though still my Barclays one to be transferred, I ve sent off the forms myself after Barclays said they havent received anything (3 weeks since original request)

From what I understand, we ll get a letter telling us how many days backdated and will get the interest paid in - with the adjustment - at the end of the 12 months.

tfboy

This Lloyds one has me interested.

However, I'm in the following situation:
- never had had an ISA before so no funds to trnasfer
- have a fair bit of money in a natwest e-savings account which I'd use as the source to transfer

So, If I were to transfer say £9000 into this ISA, effectively, I'd get the 6.5% However initally, only the first £3000 of it would be tax free? And then once into next financial year, a further £3600 of it would be tax free meaning that I'd have £6600 of it tax free and would only being paying interest on the remaining £2400 ?

I'm trying to understand what makes this ISA so great: is it that all £9000 of it is tax free which is what I believed on my initial reading or is it that one can transfer a lump sum from a previous ISA thereby transferring each year's tax free allowance at the same time so they can have a lot more than £3000 or £6600 of it tax free?

edit: just reading up a bit more, will I be limited to only being able to put in £7000 or £7200 as I don't have any previous ISA to transfer from? In which case I won't get to the magical £9000 to get the 6.5% ?

edit 2: or would I still be ok, because it's £7000 max input for this existing year and £7200 for this coming year so I could put in a max of £14200 by the start of next financial year?

Hope my question makes sense
Thanks

Comfortably_Numb

I expect such things as this will always end up with a few people having problems, and I sympathise.

My own experience was very straightforward though. I was told it would take upto 35 days, and it took around 33 for me to get a letter confirming my money was in my new account.

I'm happy with that, and can forget about it until next year, when the account will no doubt become a poor one, and another transfer will be necessary.

zzzLazyDaisy

tfboy wrote: »

This Lloyds one has me interested.

However, I'm in the following situation:
- never had had an ISA before so no funds to trnasfer
-
Hope my question makes sense
Thanks

To get this deal you need to have at least £9,000 of existing ISA money, with other ISA providers, to transfer to Lloyds.