35k guarantee for Isa?

thesnorkel

I've been putting the maximum £3000 in an Isa since 1999.I've noticed that if I use my 2008/09 allowance it will take me over the £35K that is guaranteed were my Isa provider to go under ( after NR anything could happen!! )
Are Isa's subject to the same £35K limit?
Can I open another Isa with a different provider for 2008/09?

Aegis

thesnorkel wrote: »

I've been putting the maximum £3000 in an Isa since 1999.I've noticed that if I use my 2008/09 allowance it will take me over the £35K that is guaranteed were my Isa provider to go under ( after NR anything could happen!! )
Are Isa's subject to the same £35K limit?
Can I open another Isa with a different provider for 2008/09?

Yes and yes.

If you get really worried when your interest takes you over £35k, you can also part-transfer out to another provider. In fact, since you've been with the same company for all that time (presumably anyway) it might be worth looking into other ISAs to get a better rate.

YorkshireBoy

The FSCS guarantee extends to £35K per account holder per institution (or more accurately 'FSA registration number').

You may want to reconsider your position now if you also have savings outside the ISA wrapper with your ISA provider.

thesnorkel

Many thanks Aegis and Yorkshireboy,I'll research the best Isa's with Money Savings Expert.

emphatiC_hanK

Aegis wrote: »

Yes and yes.

If you get really worried when your interest takes you over £35k, you can also part-transfer out to another provider. In fact, since you've been with the same company for all that time (presumably anyway) it might be worth looking into other ISAs to get a better rate.

Unfortunately, you will probably find that many providers do not permit part transfers, and so you may end up having to switch twice - once (a full transfer) to a provider that allows part transfers (if you can find one), and then an additional part-transfer as well.

I think that ALL providers should have an obligation to allow part transfers, unless of course you are locked into a fixed rate (by your own choice.)

I sense a campaign coming on.....

Broke_Student

emphatiC_hanK wrote: »

Unfortunately, you will probably find that many providers do not permit part transfers, and so you may end up having to switch twice - once (a full transfer) to a provider that allows part transfers (if you can find one), and then an additional part-transfer as well.

I think that ALL providers should have an obligation to allow part transfers, unless of course you are locked into a fixed rate (by your own choice.)

I sense a campaign coming on.....

Am I correct in thinking that this double transfer technique will take 2 years as you can only deposit/transfer into one new ISA account per year?

udydudy

Broke_Student wrote: »

Am I correct in thinking that this double transfer technique will take 2 years as you can only deposit/transfer into one new ISA account per year?

you can only open a new ISA once a year but once opened you can transfer that ISA to any other provider as many times as you want penalty free as long as your existing provider does not have a restriction(like fixed rate term)

so if I am not wrong, you can open an new ISA in one year which has a 6 month introductory offer and then after that period ends shift to anothe rprovider who offers better rates. the only thing that will restrict your numberof transfers is the time taken to effect a transfer

arealhighlander

The ISA limits are only a limit on how much you can put into the ISA "system" each year.

Once the money is within an ISA it can freely move about from one ISA to another (but it much stay within the ISA "wrapper") as much as you want. Or as much as your ISA provider will allow.