Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@.

Search
Page 1
  • ISA boy
    • #2
    • 19th Mar 14, 5:51 PM
    • #2
    • 19th Mar 14, 5:51 PM
    Hi all, 1st time poster here.

    Quick question regarding this new ISA announced in today's budget. Once 1 July arrives will I still be able to save adhoc cash amounts every month into a Cash Isa with Provider A and also continue paying a regular 100 into a separate Investment Stocks & Shares ISA with Provider B?

    I've had my cash Isa since the days of Tessa and Toisa and have a nice cash balance in it. However I only started a separate Stocks & Shares Investment Isa last Sept under a regular monthly contribution of 100. I don't want to have to cash in my investment Isa after only a few months but as that invests in Provider B's own fund, I don't see how I can combine with my Cash Isa under the new NISA

    Will I have to ensure that I dont pay into both separate isas from 6 April?
    Thx
    • Mattygroves2
    • By Mattygroves2 19th Mar 14, 6:07 PM
    • 576 Posts
    • 459 Thanks
    Mattygroves2
    • #3
    • 19th Mar 14, 6:07 PM
    • #3
    • 19th Mar 14, 6:07 PM
    Hi all, 1st time poster here.

    Quick question regarding this new ISA announced in today's budget. Once 1 July arrives will I still be able to save adhoc cash amounts every month into a Cash Isa with Provider A and also continue paying a regular 100 into a separate Investment Stocks & Shares ISA with Provider B?

    I've had my cash Isa since the days of Tessa and Toisa and have a nice cash balance in it. However I only started a separate Stocks & Shares Investment Isa last Sept under a regular monthly contribution of 100. I don't want to have to cash in my investment Isa after only a few months but as that invests in Provider B's own fund, I don't see how I can combine with my Cash Isa under the new NISA

    Will I have to ensure that I dont pay into both separate isas from 6 April?
    Thx
    Originally posted by ISA boy
    You can have one cash account and one S+S one next tax year so you'll be able to do what you want to do under the new rules - you'll just be able to put more in and won't be restricted to specific allocations of cash.
    • zagfles
    • By zagfles 19th Mar 14, 6:19 PM
    • 14,163 Posts
    • 12,298 Thanks
    zagfles
    • #4
    • 19th Mar 14, 6:19 PM
    • #4
    • 19th Mar 14, 6:19 PM
    See https://www.gov.uk/government/publications/the-new-isa-factsheet
    • Herbalus
    • By Herbalus 19th Mar 14, 6:41 PM
    • 2,339 Posts
    • 2,040 Thanks
    Herbalus
    • #5
    • 19th Mar 14, 6:41 PM
    • #5
    • 19th Mar 14, 6:41 PM
    I'm intrigued as to how your cash ISA provider and your S&S ISA provider will know how much you've deposited into the other, and therefore be able to limit you to the yearly amount across the two.

    I guess an S&S ISA already has to do that now, but will the cash ISA providers now have to implement a system of checking how much each depositor has placed in a S&S ISA?
  • innovate
    • #6
    • 19th Mar 14, 6:45 PM
    • #6
    • 19th Mar 14, 6:45 PM
    They won't know any more than they do today. E.g. I have two providers currently (S&S and cash) who both keep telling me I haven't yet used my allowance for the year even though I know I have.

    The providers will report deposits to the HMRC like they do today, and HMRC will pull up those who accidentally or otherwise bust their limit. It will remain the responsibility of the account holder to comply with the ISA limits. Nothing new on that front.
  • innovate
    • #7
    • 19th Mar 14, 6:48 PM
    • #7
    • 19th Mar 14, 6:48 PM
    I keep looking at the thread title and just cannot figure out why Martin Lewis would ask that question. Reading the article doesn't make me any wiser either.
    • Jonbvn
    • By Jonbvn 19th Mar 14, 7:17 PM
    • 5,365 Posts
    • 5,650 Thanks
    Jonbvn
    • #8
    • 19th Mar 14, 7:17 PM
    • #8
    • 19th Mar 14, 7:17 PM
    I keep looking at the thread title and just cannot figure out why Martin Lewis would ask that question. Reading the article doesn't make me any wiser either.
    Originally posted by innovate
    What ML is saying is that it is a popular change with little short term cost impact to the exchequer, given the poor cash ISA rates on offer.

    In the longer term it is a boon (provided the rules are not changed by the next gov't)
    Last edited by Jonbvn; 19-03-2014 at 7:23 PM.
    In case you hadn't already worked it out - the entire global financial system is predicated on the assumption that you're an idiot
    • dtaylor84
    • By dtaylor84 19th Mar 14, 7:18 PM
    • 635 Posts
    • 519 Thanks
    dtaylor84
    • #9
    • 19th Mar 14, 7:18 PM
    • #9
    • 19th Mar 14, 7:18 PM
    He seems to be suggesting that because current cash ISA rates are so low, the massive jump from 5,760 to 15,000 isn't likely to save anyone a significant amount of tax. Although he does then point out that the rates will probably rise again in the future.

    But it seems to be entirely ignoring the substantial increase in flexibility afforded by allowing transfers from S&S to cash.
    • Fella
    • By Fella 19th Mar 14, 7:30 PM
    • 7,615 Posts
    • 8,951 Thanks
    Fella
    Trying to be controversial / populist by jumping on the "if the Tories said it there must be a catch" theme that Labour are desperately peddling.

    Plainly it's nothing but excellent news for savers. They can only benefit (the amount they benefit will depend on various factors).
    • gadgetmind
    • By gadgetmind 19th Mar 14, 7:35 PM
    • 10,918 Posts
    • 8,907 Thanks
    gadgetmind
    I've been doing ISAs (nee TESSAs and PEPs) since they came out, but have always done max in shares and very little in cash. Moving forwards, I intend to max S&S NISAs and regard the increase in limits as long overdue.
    I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.

    Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.
    • Herbalus
    • By Herbalus 19th Mar 14, 7:39 PM
    • 2,339 Posts
    • 2,040 Thanks
    Herbalus
    Plainly it's nothing but excellent news for savers. They can only benefit (the amount they benefit will depend on various factors).
    Originally posted by Fella
    I will massively benefit because it means that having removed all of my savings from ISAs and put them in savings accounts paying minimum 3% (and I'm a non-taxpayer until I graduate in July and get a job....!), it won't take me as long to place them back in the tax-free wrapper when rates do rise.

    It's difficult to quantify the benefit, but it means a large number of people should avoid/(have an easier time of) the conundrum of ISAs vs current accounts i.e. keeping building their ISA pots at paltry rates to benefit when the rates rise.
  • innovate
    But it seems to be entirely ignoring the substantial increase in flexibility afforded by allowing transfers from S&S to cash.
    Originally posted by dtaylor84
    Or even the existence of the S&S option.
    • edinburgher
    • By edinburgher 19th Mar 14, 9:30 PM
    • 11,496 Posts
    • 61,447 Thanks
    edinburgher
    Or even the existence of the S&S option.
    Originally posted by innovate
    Absolutely - I think we need to see a bit more financial maturity than just endlessly suggesting that we save more and more cash.

    I realise that the topic of investing is one where MSE probably have to tread carefully (as it's a lot easier to give wrong answers), but I can't remember the last time I read commentary where the damaging effects of inflation on cash were mentioned.

    Like it or not, we're all going to have to take more personal responsibility for our futures over the coming decades. A big factor will be aiming for a mix of assets to protect our quality of life, not just stolidly relying on cash.

    /rant
    • jimjames
    • By jimjames 19th Mar 14, 10:19 PM
    • 13,234 Posts
    • 12,297 Thanks
    jimjames
    Trying to be controversial / populist by jumping on the "if the Tories said it there must be a catch" theme that Labour are desperately peddling.

    Plainly it's nothing but excellent news for savers. They can only benefit (the amount they benefit will depend on various factors).
    Originally posted by Fella
    You've got to be pretty loaded as a couple to pay in 30k per year when the average wage is below that. I'd think anyone who can save that kind of money must be earning 6 figures so the benefit to the average person is pretty small and the high earners will do best.
    Remember the saying: if it looks too good to be true it almost certainly is.
    • jimjames
    • By jimjames 19th Mar 14, 10:21 PM
    • 13,234 Posts
    • 12,297 Thanks
    jimjames
    Absolutely - I think we need to see a bit more financial maturity than just endlessly suggesting that we save more and more cash.
    /rant
    Originally posted by edinburgher
    In some ways the news is a shame.

    With the low rates on offer there seemed to be a bit more maturity and sensible attitudes coming to actually consider S&S ISAs on their merits rather than just cash but that is now all out the window again.
    Remember the saying: if it looks too good to be true it almost certainly is.
    • zerog
    • By zerog 19th Mar 14, 11:30 PM
    • 2,421 Posts
    • 849 Thanks
    zerog
    You've got to be pretty loaded as a couple to pay in 30k per year when the average wage is below that. I'd think anyone who can save that kind of money must be earning 6 figures so the benefit to the average person is pretty small and the high earners will do best.
    Originally posted by jimjames
    We earn 35k each and will save more than 15k per year; though we live rent-free so I guess you could count that as "being loaded"

    (and I'm a non-taxpayer until I graduate in July and get a job....!)
    Originally posted by Herbalus
    You will be a taxpayer from 6th April unless you don't get a real job until the start of 2015, or your job pays peanuts.
  • mikemoate
    Typical tory con!! Who will derive any benefit from this? Given the paltry rates on cash isa's at the moment, only those paying 40% tax. Tory friends!!!
    Democracy is two wolves and a lamb voting on what to have for lunch. Liberty is a well-armed lamb contesting the vote.
    -Benjamin Franklin
    • slinga
    • By slinga 20th Mar 14, 1:48 AM
    • 1,338 Posts
    • 303 Thanks
    slinga
    Typical tory con!! Who will derive any benefit from this? Given the paltry rates on cash isa's at the moment, only those paying 40% tax. Tory friends!!!
    Originally posted by mikemoate
    Agree fully.

    It's a con by the Cons.

    Must be an election coming up in the too distant.
    It's your money. Except if it's the governments.
    • Jonbvn
    • By Jonbvn 20th Mar 14, 6:06 AM
    • 5,365 Posts
    • 5,650 Thanks
    Jonbvn
    Agree fully.

    It's a con by the Cons.

    Must be an election coming up in the too distant.
    Originally posted by slinga
    Typical tory con!! Who will derive any benefit from this? Given the paltry rates on cash isa's at the moment, only those paying 40% tax. Tory friends!!!
    Originally posted by mikemoate


    Why does it have to be cash ISA's only????

    Anyway, given that you are both so sure you are being conned, I would be grateful if you could write to your respective MP's requesting that you pay more tax. Additionally, please ask them to transfer your "paltry" ISA allowances to me and my wife
    In case you hadn't already worked it out - the entire global financial system is predicated on the assumption that you're an idiot
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

118Posts Today

2,134Users online

Martin's Twitter
  • It's the weekend, it's the weekend, yay. It's that moment, when as usual, to sign off for family time. So I bid y? https://t.co/2RYRnz3fEe

  • Actually the BBC was set up to "educate, entertain and inform" so I think it is one of its responsibilities and cle? https://t.co/HMP4Q2Uptu

  • Today's FRI twitter poll: Puritanical new laws by Tories/Labour/EU/Trump/Putin (pick ur own scapegoat) dictate mode? https://t.co/3LW55tFGJ9

  • Follow Martin