Transfer Cash ISAs Discussion Area

merc190e

Hi all,

I wonder if someone would be able to help me

My wife and I had 2 cash ISA's (with full amount)4 years ago which we did nothing with, we received a statement for the first year which we received some interest. In the second year we received another statement, but received almost no interest, after I found out that the rate had changed. Due to home improvements etc we both emptied out our ISA's and we were told we couldn't actually close them.

We would now like to put some money back into both ISA's but am not sure of our options as it would seem the rate for this will be very low and obviously we would like to get the best rate possible.

Are these our only options?

1. Put money back into current ISA's as we didn't close them and then transfer them
2. Can we take out 2 new ISA's

Any advise is appreciated.

Thanks

alahol2

Open two new ISAs with the best interest rates you can find. If you've no money left in the old ISAs, just forget about them. Not sure why you can't close them though. If there's anything left in the old ISAs you can transfer them to any provider that will accept them, doesn't have to be the same provider as your new ISAs.

merc190e

alahol2 wrote: »

Open two new ISAs with the best interest rates you can find. If you've no money left in the old ISAs, just forget about them. Not sure why you can't close them though. If there's anything left in the old ISAs you can transfer them to any provider that will accept them, doesn't have to be the same provider as your new ISAs.

Thanks for the advice, wonder if they just wanted us to keep the accounts open with them.

leaphaze

merc190e wrote: »

Thanks for the advice, wonder if they just wanted us to keep the accounts open with them.

Yes, they have you on their files. They'll probably send you letters each year asking you to reactivate the ISAs, which will only be worth doing if they offer a decent interest rate.

We opened a couple of ISAs with NatWest about 4-5 years ago and arranged transfers-in which never happened; after a month or so we got fed up and transferred elsewhere instead with no problems. NatWest send us a letter each year asking us to reactivate these ISAs (bless 'em) - no chance!

Lungboy

Am I correct in thinking that the best rate ISA that allows transfers currently on offer for someone with no eligible current accounts is the 1.75% that a few (like Virgin and Natwest if under £5k) are offering?

Unreleated, but is the £1 minimum fee that you deposit to open a brand new ISA considered when looking at funding an ISA? For example, if I transfer my current ISA to the Natwest eIsa but don't fund it with any extra, then open a Flexclusive with the £1 minimum fee, can I only pay into the Flexclusive for the rest of the year due to it having had new money, or can I still choose to fund the eISA later if I wished?

AndyPK

When opening flex inclusive there is an option fund later.
So I don't know if they will harass you for the £1 or not. Or they could close it. Worth trying.
Having said that you would have already made the declaration

KingLaudrup

I have a cash ISA with Santander, which I opened in August last year. The rate is due to end at the end of August this year and I'd like to transfer the amount to another account.

Is it correct that I will only be able to transfer what I deposited last tax year? I have been paying in direct debit amounts each month since the account opened, and have made deposits in this tax year. Will this amount need to stay in the account at the rotten rate of interest?

Many thanks.

Lungboy

I think the opposite is true, that you have to transfer the entire balance of the ISA.

KingLaudrup

Lungboy wrote: »

I think the opposite is true, that you have to transfer the entire balance of the ISA.

Thanks - that's what I thought, but some of the messages above in the thread suggest that if you, for example, started making contributions into an ISA in 12/13 you were stuck with that ISA for the duration of 12/13 - you couldn't pay 12/13 money into another ISA.

murphydavid

Not 100% sure but I think that if you end up closing the Santander account having paid part of this years allowance into it. You will not be able to pay the remainder of this years allowance into another ISA.