Full ISA Guide Discussion Area

RayWolfe

No, you don't pay tax on the interest on withdrawal.
There is no punishment in tax. It is about society and caring for others and education and paying for police and looking after your mother if she gets ill. If that doesn't float your boat well, that is very sad.

LianneB1

Thanks for the info, I thought I had to pay the tax on drawing it out - which I know didn't make sense, it would defeat the object of saving in the first place. This is going to be my pension for the future, and I want to make sure I cover all bases. Apologies in advanc for the following rant - I will put my soap box away after this!!:D

RayWolfe wrote: »

No, you don't pay tax on the interest on withdrawal.
There is no punishment in tax. It is about society and caring for others and education and paying for police and looking after your mother if she gets ill. If that doesn't float your boat well, that is very sad.

I don't mind paying for things like that - it's all the other spongers who live off the state I mind paying for!! By that I don't mean the people who are genuinely looking for work, I mean the people who see being on the dole (jobseekers - yeah right, as anyone seen them looking for a job) and having extra children as a career move, and the families who bring their children up to think you don't have to work, you just spend your life on benefits!! I also mind paying for a health service that only provides certain care if you live in the 'right area' - cancer care and medication in particular. As for my mother getting ill I lost my mother four years ago and the care she got in our local hospital was good, so I can't fault that - she didn't have cancer otherwise that would be a whole different story due to our postcode, now that's what I call sad, especially for all the people in that situation. Let's not forget that the wealthiest in our society can 'negotiate' the amount of tax they pay - how is that a fair system. Plus, what about the people who work all their lives and have a small pension - they are then penalised for making provisions for the future. As an example my uncle get's a very small pension, and because of this he has to pay council tax (fair enough he get's a small reduction as he lives alone) but if he had never worked and contributed to society and the small pension scheme then he wouldn't have to pay a penny!! Isn't that punishment for working and trying not to be a burden on society!! I know there is no fair way to ever sort this, but, hey if you think I don't want to pay the tax man so I don't contribute to society and helping others, you couldn't be further from the truth!! I pay every month straight from my wage to a number of cancer charities - including cancer research - plus a number of animal and other, what I deem worthy, charities, so don't for a moment think I don't want to contribute. Maybe you live in an area where there aren't any of those sort of families, but, in my area a lot of families see it as the norm to live off the state, not because they cannot find a job, but, because 'why should they work, when they can live for free'. If a few of them got off their behinds and actually paid something in to society, maybe this country would have the far better hospitals, healthcare, schools and care for the elderly!!

Sorry for ranting on, and thanks for the info.

RayWolfe

Oh dear.
Have you been reading the Daily Mail this morning?

paul2000

I had £7000 in a internet saver acc with TSB and have today opened a ISA with Alliance and Leiceter. I have transferred £3,500 into that Isa account.

I then opened a TSB ISA and transferred the other £3500 into it !

I have now read that I am only allowed the one ISA with £3500 in this tax term so I have now transferred the £3500 from the TSB ISA back to the Internet saver.

Can I deposit the other £3,500 back into the TSB ISA next year and have two Isa running with £3500 in both? Thereby getting interest on £7000 or is the interest restricted to £3500 total.

I trust someone can just about understand the above !

Many thanks

Baldur

The annual Cash ISA allowance is £3,600.

You can have as many Cash ISAs (at the rate of one per new tax year) as you like.

Transfers do not count as 'new' ISAs - the limitation is that you can pay new money into one account per tax year.

taff716

Hi there dont know if im on the wrong page!!!

I need some advice, i am not a money guru. i have been investing in an Isa/Oeic with scottish widows for the last 8 years. recently due to the world finacial state i went on to their website to check my valuation. In may 2008 it was worth £17500, now this october it is worth £15000. i invest £200 a month. Is it worth to keep up and running or take what i can and scapper. when you try and get advice from them they say cannot advise over the phone. Please any adevice would be appreciated.

Regards

taff

notaelt

I would like some advice regarding my Cash e-ISA with HSBC. The Interest is paid at 6.25% AER (6.08% gross) monthly. However, last month I calculated that I had only received 4.13% (for daily accrued interest).

Could two small transfers of £30 across to my main account with HSBC have changed my interest for the month from 6.08% to 4.13% ? (also - on my statement it says GROSS INTEREST on the reference)

If so, will this continue for next month's interest, or will I receive the full interest for next month?

Thank-you for any help...Tom

neilsolaris

Hi. I'm looking into moving my cash ISA from Barclays into another provider as it's been open for over a year and has a low interest rate now - 4.81% to be exact.

I have an HSBC current account, and after reading the ISA page on here, it appeared that I could transfer my ISA into the HSBC ISA and receive 6.25%. However, after visiting the bank today, I was told that the 6.25% only applies to the online ISA, and I wouldn't be allowed to transfer my present ISA into that one. Instead I would have to transfer it to another HSBC ISA account, which pays less interest than I'm currently receiving.

Can anyone here confirm if she was correct with this advice, and if there is any way around it for me?

Thanks.

thistle

I'm completely new to all this and just found this specific area re ISA's.....having just posted a question in perhaps the wrong area of the site, I'll try here.

Our Standard Life stocks & shares ISA has dropped £1,000 in the last day. I am urgently looking for advice on whether we should cash it in quick, or should we wait out the storm and pray. Does it seem likely that things will get worse that what they are ???......

I am completely bewildered by the situation and would welcome any advice.

Thank you.

thistle

sorry.........last post should read .......'' has dropped £1,000 in the last TEN days''