Transferring Stocks & Shares ISA's issue

SteveFTO

Hi wondering if anyone can help clarify what options I have available here.

I have approx 3 years of Shares ISA allowance with M&G in various funds.

Recently I realised how much I was losing by not having a fund supermarket style ISA which would charge me much less then the 4% initial fee they charge each time I make a contribution.

So I opened an Interactive Investor ISA for my 2008 allowance (its Halifax in reality I believe)

Unfortunately due to a bit of a mix up M&G still took out my first monthly contribution for 2008 from my account this month so I have contributed to my allowance under their ISA.

What I had wanted to do is transfer my full ISA into interactive investor and continue my contributions to my M&G funds through there (they have the same M&G funds available through their supermarket) Given that I have now made a contribution to the M&G account ISA this tax year, if I transfer my funds will I be able to contribute the rest of my 2008 allowance through III?

To complicate further what in an ideal situation I would now really like to do having read Martins recent report is not to transfer to III but to open a Hargreaves Lansdown account as they offer a 0% fee for most funds. Given I haven't contributed anything to my III ISA I have opened can I open a HL one instead and make the transfer of my M&G ISA into there instead?

Apologies if this is a bit of ramble

munk

Probably easiest way would be to transfer everything from M&G over to HL. If it's within 2 weeks you can cancel your new ISA at iii then go ahead and continue with the transfer from M&G to HL anyway. If it's more than 2 weeks then you should probably contact them anyway because you've already contributed to 2008/9 ISA with M&G anyway so opening a new ISA with iii was a mistake anyway and wouldn't be legitimate if kept open. Maybe explain that to them and hopefully they'll just cancel your ISA account with them and you can go ahead and transfer previous year/this years ISAs from M&G to HL.