Full ISA Guide Discussion Area

favemuppet

cbrpaul wrote: »

Also I thought you could open as many isa accounts as you wanted but only deposit upto £3600 per FY anyway ,

Not strictly true - you can "open" as many as you want, but you can only "deposit" into ONE ISA in any FY, up to the £3600.

You can't spread the £3,600 around.

nearlynewbie

Sorry Yet another beginners question.

MY Dh and I have various ISA bits and peices from previous years- maybe about £2,000-each.. None of it earning much interest. .
CAn I/we transfer this money to a better rate of interest(assumimng the account allows this). If so does it count as this years ISA - if we pay no further money into it in this next tax year ?

Then can I/ DH each open another ISA into which we do pay money in this next tax year in eg one of the high rate regular saver ISAs(as we have no spare cash sitting around).
Hope this question is clear and thank you for any guidance!

RayWolfe

Your understanding is perfect.

Baldur

nearlynewbie wrote: »

If so does it count as this years ISA - if we pay no further money into it in this next tax year ?

No it doesn't - just select a new provider that accepts transfers & pays a better rate then complete that provider's transer form and they will arrange the transfer(s).

Then can I/ DH each open another ISA into which we do pay money in this next tax year in eg one of the high rate regular saver ISAs(as we have no spare cash sitting around).

Yes, that's fine - ISA transfers have no effect on your annual ISA allowance.

nearlynewbie

Baldur wrote: »

No it doesn't - just select a new provider that accepts transfers & pays a better rate then complete that provider's transer form and they will arrange the transfer(s).

Yes, that's fine - ISA transfers have no effect on your annual ISA allowance.

Thank you so much . That is really helpful!

stingyscot

I have about £47k in a 1 yr fixed rate cash ISA, which is coming to an end shortly. I intend to transfer that money into another fixed rate ISA with the same institution [i.e another product, same bank]. This would all be from previous years' allowances.

I don't want to add this year's allowance to it, as that would take it over the protected £50k, so I want to open a new ISA with a different provider to put this year's allowance into.

The question for one of you money gurus out there - would that count as having opened 2 ISAs this year [i.e. not permitted] or is it only this year's allowance that has to all go into one account? Would the transfer of old funds into a new account be 'opening a new ISA'?

Baldur

stingyscot wrote: »

The question for one of you money gurus out there - would that count as having opened 2 ISAs this year [i.e. not permitted] or is it only this year's allowance that has to all go into one account? Would the transfer of old funds into a new account be 'opening a new ISA'?

No, correctly conducted ISA transfers have no relevance to your ability to open another Cash ISA for the 2009/10 tax year - HMRC defines 'opening a new ISA' as opening AND subscribing (i.e. paying new money into it) to a Cash ISA account.

stefancross

Hi, I wonder if any of you can help. I have read the guide and searched the threads with no real luck.....

Here's my situation:
In March09 I used a lump sum of £3.6k to take out a Barclays Golden ISA for the tax year 08/09. I also have two previous years ISAs in A&Ls Direct ISA issue 4.

I am now looking to transfer my old ISAs from A&L to a-n-other ISA with better rates. (Natwest/M&S/Other).

My question is this: Do I have to subscribe to an 09/10 ISA to be able to transfer my old ISAs to that bank, or can I simply transfer the old ISAs whilst still leaving my full 09/10 allowance of £3.6k open for use.

Another question I have is: Can you open an ISA without putting any money into it? i.e. can you have an ISA with multiple lenders, but you are not in breach of any rules because you don't have money in more than one of them? This would facilitate my requirement to transfer old ISAs to receive a better rate without being forced to subscribe to that lenders 09/10 ISA as well.

I normally only take out ISAs towards the end of the financial year, and so don't want to commit to an 09/10 ISA now, in order to simply move my old ISAs.

Make sense??

Thanks in advance for your replies.

RayWolfe

stefancross wrote: »

My question is this: Do I have to subscribe to an 09/10 ISA to be able to transfer my old ISAs to that bank, or can I simply transfer the old ISAs whilst still leaving my full 09/10 allowance of £3.6k open for use.

No you don't.
That should answer your second question too.
Don't forget, you have to ask the new provider to do the transfer.

stphnstevey

Can you subscribe to a cash and S&S ISA in the same tax year?

Can you subscribe to more than one
- Cash ISA in the same tax year
- S&S ISA in the same tax year