Transfer Cash ISAs Discussion Area

ukcheetah

As FSCS have announced the start of icesave compensation process, I wonder what I should do with my ISA money in icesave. My money was subsribed in 07/08 with HSBC and then transfered to icesave just before it went down. I have subscribed 08/09 ISA with Barclays and I presume they don't accept transfer in. Now, I need to open (not subscribe) a new ISA account to accept my icesave ISA money. I hope you all agree with my plan and here are the questions :
1. Am I eligible to open a fix rate ISA? What is your recommendation?

2. What amount should I fill in the transfer in form? The total amount (3000+interest) or just 3000? I haven't take out my interest.

Thanks all :T

NikkyWikky

Hi All,

I went into NatWest on thursaday to transfer my ISA across however when i requested this, they said i had to open a current account. Is this true? The reason i'm relunctant to open one is I already have 2 and dont want to go into the hassle of opening another one. I'm preety sure I read some where i could open their e-saver account.

Also now the Bank of England interest rates have dropped by 1.5%, the interest rate of most ISA's will fall in the future to reflect this. Is it worth waiting a month once all the interest rates have been updated and then get the best transfer ISA, or bet just transfering it to NatWest right now?

AlwaysHopeful_3

Hi All
I recently opened Fixed Rate ISA with Stroud, which at the time of opening offered the ability to transfer from existing ISAs up until 30 November 2008.
I was just about to make the transfer and they say this account has been withdrawn and I can no longer transfer, although it is not yet 30 Nov.

Can they do this? I opened this account on basis of the ability to do this. Seems like a breach of contract.

It also prevents me transferring any of my ISAs into another provider as already made the subscription into this one.

Any help would be appreciated.

Baldur

AlwaysHopeful wrote: »

It also prevents me transferring any of my ISAs into another provider as already made the subscription into this one.

No it doesn't. Transfers can be carried out at any time to any Cash ISA provider (as long as the new provider accepts transfers) - they do not constitute 'opening a new ISA'.

What you should have done was to complete Stroud & Swindon's transfer form at the same time as the application to open their Cash ISA.

TheGame7

...........

Baldur

TheGame7 wrote: »

I see that Natwest now offers a better interest rate than A&L. Can/should I transfer my ISA to them? A&L hasn't paid interest on a monthly basis like my previous ISA provider did. Does this mean I will not receive any interest if I transfer? Are there any penalities I should be aware of when transferring out of A&L?

You can transfer to NAtwest or any other ISA provider, if you wish. If you transfer, A&L would close the account and transfer your funds (including any interest earned to the date of closure, to the new provider. As far as penalties are concerned, I am not aware of any but check your Terms & Conditions.

Also, even though Natwest pays the best interest at the moment, with the drop in the Bank of England rate, could Natwest and others follow?

Highly likely in my opinion.

If so, is a fixed rate ISA preferred at this moment in time? Who is the best (B&B are listed by Martin but going on there website, it appears that this is no longer the case).

Most decent FRISAs have disappeared recently - rates seem to be around 5%-5.25%, e.g. http://www.moneyfacts.co.uk/savings/bestbuys/fixed-rates-isa.aspx (if they are still available).

goldy10

blacksheep101 wrote: »

I was also going to transfer to Natwest but because of the current account thing am going with Scottish Widows instead - they only require you to give details of your current account which can be with anybody so it can be "linked" to your ISA.

I was also thinking I didn't want to open aother new current account with NatWest just to get the ISA but having printed off the respective ISA Transfer application forms for both NatWest and Scottish Widows, the NatWest one seems far far easier and fool proof. It's a matter of simply putting in your sort code and account number of where you hold your current ISA and that's it.
The Scottish Widows form seems over complicated and convoluted where you either have to send in a cheque for the amount money in your current ISA or start up a new direct debit to them.

I may just wait a couple more weeks anyway and see if anything changes. When does Martin Lewis update these monthly pages?!

There may be ISA's now better than these two which we dont know about?!

luv_my_brass

I am a bit unsure on what to do with my Icesave ISA's. Can I transfer them into my bank account until I decide which company to transfer them to without losing their ISA state? Or can I transfer then directly from Icesave into another company? I have transferred my Icesave savings into my bank account and hope Barclays will allow me to transfer the whole lot into a dedicated savings account - they have set limits on cash transferrals in the past :-/ But have left my ISA's in Icesave for the moment, awaiting advice!

luv_my_brass

I am a bit unsure on what to do with my Icesave ISA's. Can I transfer them into my bank account until I decide which company to transfer them to without them losing their ISA status? Or can I transfer them directly from Icesave into another company? I have transferred my Icesave savings into my bank account and hope Barclays will allow me to transfer the whole lot into a dedicated savings account - they have set limits on cash transferrals in the past :-/ But have left my ISA's in Icesave for the moment, awaiting advice!

Baldur

luv_my_brass wrote: »

Can I transfer them into my bank account until I decide which company to transfer them to without them losing their ISA status?

Yes, as long as the funds are deposited in a replacement ISA account before 5th April 2009.

Or can I transfer them directly from Icesave into another company?

No, you should claim your funds and, when you receive the ISA certificate, they can then be transferred to a new ISA provider by completing that provider's Cash ISA transfer form.