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  • FIRST POST
    • Mjcampbell67
    • By Mjcampbell67 11th Jul 18, 9:05 AM
    • 1Posts
    • 0Thanks
    Mjcampbell67
    Lisa
    • #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

    Michael
Page 1
    • stevenhp1987
    • By stevenhp1987 11th Jul 18, 9:36 AM
    • 673 Posts
    • 534 Thanks
    stevenhp1987
    • #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
    • 327 Posts
    • 379 Thanks
    diggingdude
    • #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
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