Halifax Help to Buy ISA going down from 3.5% to 2.25%...

karlie88
karlie88 Posts: 9,114 Forumite
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in ISAs & tax-free savings
...for existing customers from 7th August.

Was bound to happen.
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Comments

  • diggingdude
    diggingdude Posts: 2,445 Forumite
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    I remember it being 4% when I first opened mine. Glad I swapped to Skipton LISA earlier this year
    An answer isn't spam just because you don't like it......
  • serg85
    serg85 Posts: 28 Forumite
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    any good alternatives out there now? I remember Halifax as being one of the better ones back in the day...
  • Alexland
    Alexland Posts: 9,653 Forumite
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    serg85 wrote: »
    any good alternatives out there now? I remember Halifax as being one of the better ones back in the day...

    I doubt the providers will spend much time trying to promote HTB ISAs given the accounts can only be opened until 30th November 2019 which is only 18 months away now. Soon they are going to have to make the decision to either back the LISA or exit the FTBer saver market.

    Alex.
  • diggingdude
    diggingdude Posts: 2,445 Forumite
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    serg85 wrote: »
    any good alternatives out there now? I remember Halifax as being one of the better ones back in the day...
    Barclays is probably the best now which is a sad reflection on the state of these accounts
    An answer isn't spam just because you don't like it......
  • MDMD
    MDMD Posts: 1,428 Forumite
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    edited 10 June 2018 at 9:56PM
    diggingdude wrote: »
    Barclays is probably the best now which is a sad reflection on the state of these accounts
    It is annoying as this was becoming a decent product with £7.5k getting 3.5% tax free. Clearly becoming expensive and unsustainable. I was hoping some of the people transferring to Skipton LISAs would have reduced their cost a bit.....

    I am considering Barclays, although leaving it until last minute as if everyone transfers to Barclays there is always the possibility they chop their rate too.
  • dalescaff
    dalescaff Posts: 1 Newbie
    Hi,

    I'm new on here, and only joined up for this specific advice. I've had a letter last week saying my Halifax HTB ISA is going down in August too. I'm only guessing here and using the posts above, but if I take up a SKipton or Barclays ISA:

    1) Are they HTB too? i.e. do the government match the 25% I put in?; and

    2) Do I get penalised by Barclays, Halifax or the government in any way for the swap? .i.e. you can only put £1,200 in to start, or I lose my 25% contribution for moving etc.

    Thanks in advance.
  • eskbanker
    eskbanker Posts: 30,911 Forumite
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    dalescaff wrote: »
    I've had a letter last week saying my Halifax HTB ISA is going down in August too. I'm only guessing here and using the posts above, but if I take up a SKipton or Barclays ISA:

    1) Are they HTB too? i.e. do the government match the 25% I put in?
    If you wish to continue with the Help to Buy ISA scheme then, at the risk of stating the obvious, you need an account clearly called a Help to Buy ISA! Barclays do indeed offer one with a higher rate than Halifax's but Skipton don't, although they do offer a Lifetime ISA instead, which is a similar but different scheme, also involving a 25% government bonus but with lower interest, offset by higher contribution and property value limits. Read up on Lifetime ISA and how it compares with HTB ISA at https://www.moneysavingexpert.com/savings/lifetime-ISAs as it may be a better option for you.
    dalescaff wrote: »
    2) Do I get penalised by Barclays, Halifax or the government in any way for the swap? .i.e. you can only put £1,200 in to start, or I lose my 25% contribution for moving etc.
    You can transfer one HTB ISA to another HTB ISA (also with 25% bonus) if the new one accepts inbound transfers. You don't have to start again according to the rules, but anecdotally I'm pretty sure I've read on here that some Barclays staff haven't been aware of this....
  • deutsch
    deutsch Posts: 396 Forumite
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    sorry to dig up an old thread. if i transfer the halifax htb isa, will get get the pro rata interest paid?
  • eskbanker
    eskbanker Posts: 30,911 Forumite
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    deutsch wrote: »
    sorry to dig up an old thread. if i transfer the halifax htb isa, will get get the pro rata interest paid?
    In a word, yes.
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