ISA intrigue

matimage

Hi All,
Been going through the various pages on here and would like someone to clarify something for me if poss.
On the ISA page Martin says this: You can only have a Mini Cash ISA with one provider in any tax year – you can't split it. However you can hold cash-ISAs from different years with different providers.

I have filled up my ISA allowance for the last 3 years in Nationwides ISA. Does the above mean I can leave the last 3 years savings in that one and go and open a brand new one (perhaps with Icesave) after April 6th without having to do any transfers/telling anyone?

Would you suggest though I transfer the whole lot into the Icesave one? Call me daffy but I like spreading my savings around a bit (yes, even though first 30k is safe...) so wouldn't mind having the prev 3 years kept in Nationwide.

10_66

Yes, you can open another ISA with another provider in the new tax year, regardless of who you have your current ISA's with. You can transfer all (or part of it if the old provider permits it) to any provider that permits transfers in. You're best checking what the interest rate is with your old provider (Nationwide) to see if you can better it by transferring it elsewhere.

http://www.moneyfacts.co.uk/savings/bestbuys/default.aspx

http://www.moneysupermarket.com/Savings/Default.asp?p=0

http://forums.moneysavingexpert.com/showthread.html?t=401374

debbie42

matimage wrote: »

I have filled up my ISA allowance for the last 3 years in Nationwides ISA. Does the above mean I can leave the last 3 years savings in that one and go and open a brand new one (perhaps with Icesave) after April 6th without having to do any transfers/telling anyone?

Yes, that's fine. You'd only transfer it if you actually wanted to, e.g. for simplicity or better rate.

matimage

Great stuff. Ta.
Just out of curiousity, what happens if you pay into 2 ISAs? Is there some kind of network that keeps an eye on every ISA and if a duplicate comes up the bank is warned?

Mikeyorks

matimage wrote: »

Just out of curiousity, what happens if you pay into 2 ISAs? Is there some kind of network that keeps an eye on every ISA and if a duplicate comes up the bank is warned?

Yes ... they're called HMRC! The ISA managers report to them after every April and they will normally pick up people who have paid into 2 ISAs. If it's with different providers ... you will receive the letter from them and be told how to proceed. If, unusually, it's with the same provider it will probably be picked up earlier and they get advice from HMRC on how to 'repair' your accounts.
Best not to go there ... like elephants they have long memories. (they need to, as they keep losing their databases!)

matimage

Cor, Definitely won't be going there!

matimage

Can I transfer in my old ISA into my new ISA at any time in the tax year?

10_66

Providing they permit transfers in, you can transfer at any time.