ISA Question

lucylouwoo

I have already got an ISA with Halifax but it hasn't got a very good interest rate, I also haven't used my £3000 for the year, I am wondering if i closed my halifax account and used the balance to open another account would that be classed as using my allowence for the year( i only have £3000 in it) or would I still be able to put in another £3000????

Also does anyone know what the best account would be as I want something with decent interest that I would be able to draw my money out of when it's needed???

Many thanks guys!!!!!!

lisyloo

I am wondering if i closed my halifax account and used the balance to open another account would that be classed as using my allowence for the year

Yes it would which is a very strong reason not to withdraw and then invest.
The procedure you should follow is to transfer your ISA in which case it will count as a previous years allowance (the year you put it in).

or would I still be able to put in another £3000????

You would still be able to put another £3000 in for the year 2007/2008 if you TRANSFER but be aware that this ends in April 2008, so you need to get a move on.
Your best bet would be to open one ASAP and put the new money in.
Then transfer the old money.
If you manage to do it quickly then you will use the 2007/2008 allowance and still leave next years allowance free.

Also does anyone know what the best account would be

There ar a couple of thread on this board listing the best ISAs so just check thouse out as they are frequently updated.