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@.

    • Mjcampbell67
    • By Mjcampbell67 11th Jul 18, 9:05 AM
    • 1Posts
    • 0Thanks
    • #1
    • 11th Jul 18, 9:05 AM
    Lisa 11th Jul 18 at 9:05 AM
    Had started a LISA with a view to withdrawing in April 2019 where I would have two years worth of savings - planned £4000 each year with £1000 bonus each year giving me £10000.

    Circumstances changed meaning I could buy a flat sooner from a family member following a family death.

    I understand the terms of LISA mean I donít get the government bonus but as Iím still using this for a first time buy, should I still be charged the 25% withdrawal fee leaving me with £3750 rather than 4000?

    Is there a way around this?

    Many thanks

Page 1
    • stevenhp1987
    • By stevenhp1987 11th Jul 18, 9:36 AM
    • 719 Posts
    • 555 Thanks
    • #2
    • 11th Jul 18, 9:36 AM
    • #2
    • 11th Jul 18, 9:36 AM
    When did you open the account?

    The account needs to be open for 1 year before it can be used.

    If you opened it less than 1 year ago, then yes, you will be charged the 25% fee (after the bonus) meaning you lose money.

    If you've deposited £4k you will have a £1k bonus (so £5k total). If you withdraw this before 1 year has passed, you will receive £3,750 as the £1,250 will be lost to the 25% charge regardless of the reason for the withdraw.
    • diggingdude
    • By diggingdude 11th Jul 18, 7:53 PM
    • 431 Posts
    • 581 Thanks
    • #3
    • 11th Jul 18, 7:53 PM
    • #3
    • 11th Jul 18, 7:53 PM
    You will lose money sorry, but if it's the right place it will be worth it
    House Deposit - Target £20000 April 2019
    Current Savings - £10225 13121.22 £14621.22 £16021 £17296£15171 £15971
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

1,833Posts Today

8,568Users online

Martin's Twitter
  • RT @RickGreerUK: @MartinSLewis Someone looking so jazz up their headline. I hope they apologise! I?ve always appreciated MSE?s responsibl?

  • The Times has an upsetting article today about travel insurer TIF. Yet a sidebar piece is also more than disinge?

  • RT @kcb1: Looking forward to @MartinSLewis on the money show tonight at 8. It?s a shame it?s only 1 hour long

  • Follow Martin