Transfer Cash ISAs Discussion Area

Savila60

I decided to transfer my two cash ISAs (Abbey 2003-4 & 2004-5 plus Halifax 2006-07) into the NatWest cash ISA recommended in MSE's latest e-mail. I read the instructions on line, downloaded the form and then rang NatWest's 0800 number quoted on the web page to ask whether two full 4-page forms were needed, or just one set with an additional page 2 for the details of the second ISA. The woman I spoke to said it was illegal to hold two cash ISAs, although I explained clearly that they related to separate financial years and were by definition dormant. She said I could transfer one to NatWest and must close the other immediately as by holding it I was breaking the law. How can I trust a bank to look after my money if their staff don't understand the basics of the cash ISA system? I feel like giving up and putting up with the much lower rates!

MigsyBigsy

hello,

just wanted to add to the above question concerning Barclays, is this an instant access acoount, i.e will it be okay to transfer from that ISA to the NatWest one?

thank you

Baldur

A friend certainly transferred the previous version of the Barclays Cash ISA earlier this year to a different provider with no problems

MigsyBigsy

grumpyoldsod wrote: »

I have the Barclays Tax Saver ISA - should I transfer to Nat West?

Tried searching for this but couldn't find on forum.

copied from the Barclays website:

6. Transfer of ISA to another ISA Manager
You may request us to transfer your ISA to another ISA manager by sending us your instructions in accordance with condition 9.4. The transfer will take place within such time as you have stipulated to us, subject to any reasonable period up to 30 days to enable the practical implementation of your instructions.

9.4 Instructions for closure or transfer of the ISA to another ISA manager must be in writing and bear your original signature.

renard_2

jemmychaos wrote: »

I should also add for the benefit of anyone else applying for the natwest ISA, as this isn't clear on their website, that you need to get an application form either by phoning up (takes 20 mins she said) or by going into the branch. The ISA transfer application form that they very prominently link to on their website isn't actually an application to open the account: you need to get the application form from the branch, and then take it back to the branch, with the transfer form and 2 forms of ID (photo and address). it then takes up to 30 days from then. What a faff!

What you are saying applies only to people who do not already have a NatWest bank account.

The NatWest website makes it clear that you can download the ISA transfer application form from the website. I clicked on the link and printed out the form in a few seconds. It then took about five minutes to complete the simple application form.

I already bank with NatWest, so I took the completed form to my branch, where a pleasant young woman completed the formalities in about 15 minutes. No "faff" whatsoever. And all ISA transfers, not just NatWest, can take 30 days or more.

Where people may be getting confused is that you must have (or open) a NatWest bank account before you can have an ISA with them. This is for very sensible administrative reasons. So yes, if you have to open a new account first, you will have to also get an account application form and take in ID, which is completely normal when opening a fresh account at a new bank.

Having opened your new NatWest bank account, there is no compulsion to use it. It is simply there for administrative reasons.

I hope this is useful.

Baldur

renard wrote: »

Where people may be getting confused is that you must have (or open) a NatWest bank account before you can have an ISA with them. This is for very sensible administrative reasons.

These 'very sensible administrative reasons' have never applied to any of the (many) other institutions with whom I have ever opened a Cash ISA since the scheme began - none of whom has made such a stipulation.

matt_wood87

Hi,
I already have my ISA with natwest.

Is there any way in which i can take advangtage of the high transfer rate, for example could i transfer the money out to another account, and then transfer it back in?

is it possible to transfer twice in one tax year?

is there anything else i should be aware of?

many thanks!

Matt

Lokolo

No you cannot do this, if you have deposited £3600 you cannot deposit anymore in, that meas even if you take it all out, you cannot deposit it again.

You can open a new ISA with natwest with the good rate and fill in an ISA transfer form. Once you have filled this in they then transfer it across.

Baldur

matt_wood87 wrote: »

is it possible to transfer twice in one tax year?

Yes, i.e you could transfer to a different ISA provider, then back to Natwest.

is there anything else i should be aware of?

Depending on the amount that you are transferring, you could lose more interest during the two transfer processes than you would receive from the better rate.

matt_wood87

thanks for the reply lokolo,

Lokolo wrote: »

No you cannot do this, if you have deposited £3600 you cannot deposit anymore in, that meas even if you take it all out, you cannot deposit it again.

i'm not trying to deposit any money, nor do i want to take it out as i know i would loose the isa benefit. I am looking to use the transfers system to obtain the highest possible rate.

Lokolo wrote: »

You can open a new ISA with natwest with the good rate and fill in an ISA transfer form. Once you have filled this in they then transfer it across.

As my Cash ISA is already with Natwest is it possible to open another ISA with them and transfer the balance between the two? or, as i said, could i for example open a barclays isa account, transfer my natwest isa balance to the barclays account, close the natwest account. open a new natwest account, transfer the balance in from barclays. what are the rules as to how many transfers can be made in a year, and how much can i transfer. i appreciate this would obviously take a couple of months to complete, but would it be worth while for the 2% bonus?

or are there any other options i could take to maxamise my interest?

thanks baldur, i guess that pretty much answers my question. i think i'll go to my Natwest branch and speak to them about the possiblities of transfers, and see if they would be willing to offer me the increased transfer in rate if i threatened to transfer my ISA balance out to a different bank.

thanks for the help!

Matt