Ford Money regular cash ISA Saver @4% on £250/month

Nourse79
Nourse79 Posts: 34 Forumite
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in Savings & investments
Hello everyone,

On 23 May 2017, I opened a Ford Money regular cash ISA Saver @ 4% with £250/month - making a total of £2750 on 31.03.18.
The last payment will be on 23.04.18 - making a total of £3000 on 30.04.18.
I also have an "old" POPPY cash ISA with Coventry BS.

I have not used the rest of my £20 000 ISA allowance yet as I don't know which amount I can put in and where before the end of this tax year.

Is it £17 000 or £17 250 to be used before 05.04.18 ? and where ?

I know I can not open another cash ISA with another provider this year. Coventry BS say I can not add the cash remainder to them as I already have put cash in with Ford and that's where I'm confused as I am not opening another ISA but topping up an existing one.
Can anyone help ?
Many thanks for input.
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Comments

  • YorkshireBoy
    YorkshireBoy Posts: 31,541 Forumite
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    Nourse79 wrote: »
    Is it £17 000 or £17 250 to be used before 05.04.18 ? and where ?
    £17,250, and since Ford offer a 'flexible' ISA simply open a bog standard ISA with them for it.
  • xylophone
    xylophone Posts: 44,375 Forumite
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    You will have used £2,750 of your allowance in the Ford RS ISA in this tax year.

    You could deposit £17,250 in another Ford ISA product before the end of the current tax year?

    https://www.fordmoney.co.uk/help/about-our-products/what-is-an-isa
  • eskbanker
    eskbanker Posts: 30,979 Forumite
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    Nourse79 wrote: »
    I know I can not open another cash ISA with another provider this year. Coventry BS say I can not add the cash remainder to them as I already have put cash in with Ford and that's where I'm confused as I am not opening another ISA but topping up an existing one.
    The ISA rules aren't about opening new accounts as such, but they prevent you from paying new money into more than one ISA of any given type in a tax year, so Coventry are right that you can't pay into one of theirs if you've paid into Ford's this tax year.

    However, as above, some providers, including Ford, allow you to pay into multiple accounts with the same provider by regarding them as being the same (split) ISA, so you can fund another Ford one.

    Or you could open a stocks and shares ISA with anyone if that fits with your saving and investing objectives and risk tolerance....
  • soulsaver
    soulsaver Posts: 5,966 Forumite
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    So note you need to pay that final £250 23.04.18 out of this years ISA - or you'll limit your options for a cash ISA next financial year as well.
    So pay at least £250 into Ford's 1% (IIRC) 2017/18 ISA before April and use that for the final monthly payment.
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  • B_G_B
    B_G_B Posts: 502 Forumite
    soulsaver wrote: »
    So note you need to pay that final £250 23.04.18 out of this years ISA - or you'll limit your options for a cash ISA next financial year as well.
    So pay at least £250 into Ford's 1% (IIRC) 2017/18 ISA before April and use that for the final monthly payment.

    Alternatively, miss the last payment. Loss of interest approx 83p, but simpler option.
  • Nourse79
    Nourse79 Posts: 34 Forumite
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    B_G_B wrote: »
    Alternatively, miss the last payment. Loss of interest approx 83p, but simpler option.

    Hello there, Thanks to all for your advice.
    To recap : the easiest choice is to open a new FORD flexible ISA end of March 2018 with £17 250 AND miss the last payment of £250 in Ford RS ISA on 23.04.18.Right ?
    BGB, just a quick question : how did you work out the loss of interest for the last unpaid month ? Seems to be very little @ 83p.
    Cheers:)
  • eskbanker
    eskbanker Posts: 30,979 Forumite
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    Nourse79 wrote: »
    BGB, just a quick question : how did you work out the loss of interest for the last unpaid month ? Seems to be very little @ 83p.
    The last £250 would earn 4% (£10) if in the account for a year, so in a month would earn a twelfth of that, therefore £10 / 12 = 83p.
  • Speculator
    Speculator Posts: 2,225 Forumite
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    B_G_B wrote: »
    Alternatively, miss the last payment. Loss of interest approx 83p, but simpler option.

    Are you allowed to miss a monthly payment?
  • B_G_B
    B_G_B Posts: 502 Forumite
    Speculator wrote: »
    Are you allowed to miss a monthly payment?

    Yes. Multiple payments can be made each month up to max £250. Any money short of £250 can not be carried forward. Complete months can be missed.
  • Nourse79
    Nourse79 Posts: 34 Forumite
    First Post First Anniversary Combo Breaker
    eskbanker wrote: »
    The last £250 would earn 4% (£10) if in the account for a year, so in a month would earn a twelfth of that, therefore £10 / 12 = 83p.

    Hi BGB, just found this Regular Savings Calculator here :

    https://www.moneysavingexpert.com/savings/best-regular-savings-accounts#calculator

    Seems to say that " After saving £250.00 a month for 11 months, you will have £2,804.61 in savings, meaning you've earned £54.61 interest" and "After saving £250.00 a month for 1 year and 0 months, you will have £3,064.61 in savings, meaning you've earned £64.61 interest

    That would be £10 loss. No ?
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