Transfer Cash ISAs Discussion Area

rb10

Lokolo_2 wrote: »

On a serious note: You should also be able to initiate the transfer online or over the phone if that's easier for you though.

You'll still need to sign a paper copy of the form (which will be posted to you), as the old bank will need to see your signature before they release the money.

chewmylegoff

Lokolo_2 wrote: »

Well you can open as many ISA's as you like in the tax year, it's "funding" them which matters in relation to ISA rules, you can only "fund" ONE cash ISA per tax year with "new money" - IE Transfers don't count.

You can also open a Stocks and Shares ISA alongside a Cash ISA and contribute up to £10200 (£5100 max in Cash ISA) this tax year, so yes you can theoretically fund two ISA's in a tax year.

With regards to transfering, I wasn't aware that Santander did internal transfers into their ISA's which don't seem to accept any form of transfers in anymore, they may have done in the past but I don't think the current Issue does at all.

issue 6 definitely allowed transfers in as i have one into which i 'transferred in' from hsbc last year. think it was the best buy for transfers in last year, assuming you had more than £9k. don't know about internal transfers.

Party_Animal

I went into the Halifax branch today. It does appear to be the best for my needs. Interest paid on ISAs transferred in from the day I sign up. At least 3% for the next year.

shyguy44

couple of quick questions.

Currently got a Cash e-ISA with First Direct.

Looking on NAtionwide they have a Cash ISA and E-ISA's, just wondering what is the difference. Currently unsure as to whether to transfer to NAtionwide or Halifax as I have an old NAtionwide account with approx £100 (Invest Direct account), also have old halifax account, Halifax Cardcash Visa Electron

Also on Interest it says on a normal savings account you pay interest if you are a basic tax payer.

If you work part time and just earn above the tax allowance I'm assuming you are classed as a tax payer. However if the rate rises so it is above what you earn, e.g. 2011/2012 says £7475 are you then classed as a non tax payer even if you pay Nat. Insurance.

If that ever becomes the case would you ever need to have an ISA and just open a regular bank account withthe highest interest as you don;t pay tax as I'm confused

shymanuk

hi looking to transfer my natwest isa over to halifax but is it worth keeping the old natwest one open with a small amount as the rate is ok . so i can transfer back maybe in yrs time when halifax rate finishes . or just look at the time and go to what ever seems best for transfers

Lokolo

shymanuk wrote: »

hi looking to transfer my natwest isa over to halifax but is it worth keeping the old natwest one open with a small amount as the rate is ok . so i can transfer back maybe in yrs time when halifax rate finishes . or just look at the time and go to what ever seems best for transfers

If the rate is better, transfer it all. No point in keeping it open to maybe transfer back in the future tbh.

boobbby

shyguy44 wrote: »

couple of quick questions.

Currently got a Cash e-ISA with First Direct.

Looking on NAtionwide they have a Cash ISA and E-ISA's, just wondering what is the difference. Currently unsure as to whether to transfer to NAtionwide or Halifax as I have an old NAtionwide account with approx £100 (Invest Direct account), also have old halifax account, Halifax Cardcash Visa Electron

Also on Interest it says on a normal savings account you pay interest if you are a basic tax payer.

If you work part time and just earn above the tax allowance I'm assuming you are classed as a tax payer. However if the rate rises so it is above what you earn, e.g. 2011/2012 says £7475 are you then classed as a non tax payer even if you pay Nat. Insurance.

If that ever becomes the case would you ever need to have an ISA and just open a regular bank account withthe highest interest as you don;t pay tax as I'm confused

Anybody who pays tax does not have to pay with tax on the interest obtained from a cash ISA. If you think you will pay tax in future years then it is a good idea to have money saved in an ISA as you can continue to keep the interest tax free. Smart people will transfer their old ISA's to providers paying the best interest rates. If you dont think that you will have an income in which you dont pay any tax then ISA's are a waste of time as you can get better rates elsewhere.

VoucherMan

I've just transferred (re-designated?) my Halifax ISA Direct Reward using the on-line form, which I'm told will take 10 days. I was on 2.6%. It seems daft not to take up their 3.2% offer.

As it's the start of a new tax year I'm happy that I'm okay to do this, but if interest rates go up later in the year and Halifax bring out another Direct Reward ISA with a higher interest rate will I be able to move my money into it? I will probably have paid more into it by then, so thought that meant I couldn't open or transfer into another ISA until the next tax year, but reading the thread on the Halifax ISA I got the impression that people were moving them even after paying into them.

Also, as I've transferred I'm assuming that I start the 12 month term again.

My old one was due to mature on 12th May and according to the Halifax website 'interest will be paid on 5 April and at the end of the reward period.' I've only ever received interest on 5th April in previous years but as I'm moving it early when is the interest likely to be paid?

Any (simple) answers or directions to a 'dummies guide' appreciated. The brain's gone into meltdown trying to understand what I thought was a straightforward investment.

It was much easier when you could just leave your money knowing that the rate wouldn't drop at the end of the year!

Thanks if you made it this far.

rb10

VoucherMan wrote: »

As it's the start of a new tax year I'm happy that I'm okay to do this, but if interest rates go up later in the year and Halifax bring out another Direct Reward ISA with a higher interest rate will I be able to move my money into it?

Yes, Halifax will always let you redesignate to another Halifax ISA without any penalties.

This applies whether or not you have paid money into it during the current tax year at the time of redesignation. As you may have noticed, the account remains the same (so same a/c number, sort code); it's just the interest rate (and a few associated conditions) that change.

VoucherMan wrote: »

Also, as I've transferred I'm assuming that I start the 12 month term again.

Yes, it starts again with effect from today.

VoucherMan wrote: »

My old one was due to mature on 12th May and according to the Halifax website 'interest will be paid on 5 April and at the end of the reward period.' I've only ever received interest on 5th April in previous years but as I'm moving it early when is the interest likely to be paid?

Not 100% sure on this, sorry! I expect you'll get interest on 5th April 2011, with more to be added on 2nd April 2012, if you are still on ISA Direct Reward 4 (otherwise you'll get it on 5th April 2012). That is my interpretation of it, anyway.

shanson

I want to transfer my Barclays ISA Issue 2 (last years) to a new Halifax Direct Reward 3% ISA.

I also want to open a new ISA with Barclays Issue 3.

So my question is.. to open a new Halifax ISA I must deposit a min of £1. Does that minimum amount count as paying into a new ISA this tax year? I only want to transfer my existing funds.