Second cash Isa for funds from old Stocks and Share Isa OK?

[twokcc]

Have already opened a cash ISA in the 23/24 tax year funded to max allowable.

Been a roller coaster ride with previous years stocks and share ISA and with todays share rise breaking even so even with dividends payments less than 2% return. Thinking with war? election and new government may be a good time to get into cash(1 or 2 year fixed)
So if sell all shares so only cash in the Isa. can I open a second cash ISA in this tax tear and then transfer all the cash into this second cash ISA
Obviously new ISA will have to accept transfers in and will have to check no penalties on full cash withdrawal from stocks and shares Isa provider (very low selling fees so less than £100 to sell all shares).

Don't want to get it wrong and fall foul of tax free status of funds.

[PM3]

You cannot open two cash ISAs in the same tax year.
You can have more than one cash ISA, provided they were opened in different tax years

[okgo]

What were you invested in? ISA is just a wrapper after all

[twokcc]

PM3 said:

You cannot open two cash ISAs in the same tax year.
You can have more than one cash ISA, provided they were opened in different tax years

Yes pretty certain I've read that but on UK gov web site says

Transferring your ISA
You can transfer your Individual Savings Account (ISA) from one provider to another at any time.
You can transfer your savings to a different type of ISA or to the same type of ISA.
If you want to transfer money you’ve invested in an ISA during the current year, you must transfer all of it.
For money you invested in previous years, you can choose to transfer all or part of your savings.

So in my case to get a second provider I would need to open a new account BUT only fund it from cash from the existing(prior to 23/24) ISA

The ISA I opened this year closed to any transfers in early January -so cannot transfer into that now and wasn't thinking of doing it at the time

Don't want to loose ISA wrapper because I've misunderstood rules.

[bitchstewie]

They aren't truly zero risk but you could look at a money market fund which will pretty much track SONIA which should be close to the BoE base rate.

Don't overthink it either.

There's always a reason not to invest and if you move to cash now when will you move back?

Gut feeling is rarely a good reason to do this sort of thing.

If you're in it for the long term getting your appetite for risk right and sticking with it has historically been the best thing to do.

[twokcc]

bhstewie said:

They aren't truly zero risk but you could look at a money market fund which will pretty much track SONIA which should be close to the BoE base rate.

Don't overthink it either.

There's always a reason not to invest and if you move to cash now when will you move back?

Gut feeling is rarely a good reason to do this sort of thing.

If you're in it for the long term getting your appetite for risk right and sticking with it has historically been the best thing to do.

Mid 70's and now a 5% tax free return would be ok for me - had stocks and share isa for very long time but put more into it when interest reduced because of QE, Also went into BTL 13 years ago, sold in Feb 23 but house nearly doubled in price(+ rental income).
Gut feeling not always paid off - certainty just makes life easier which is more important to me at this stage in my life. Very unlikely I will ever move back.

Edited by twokcc on Saturday 27th January 09:14

[twokcc]

Didn't think about IM's advice re ISA's so put a link in thread and will PM Nick on Monday see if can gat a definitive answer on this.

[Smurfsarepeopletoo]

Your only allowed to put 20K per year of new money into an ISA, however, you can transfer funds from one ISA into another ISA as long as you havent added any funds to that isa in the tax year.

[twokcc]

[quote=Smurfsarepeopletoo]Your only allowed to put 20K per year of new money into an ISA, however, you can transfer funds from one ISA into another ISA as long as you havent added any funds to that isa i

My 23-24 ISA closed for adding any funds early January ( Virgin money 5.85%)
so no longer an option for me. Thinking of opening a second cash ISA and funding it by transfer but as pointed out above not allowed to open more than 1 cash ISA in same tax year. Is the poster wrong?

Will also contact virgin not best rate but now have a 5.2% fixed cash ISA

Edited by twokcc on Sunday 28th January 08:59