Help To Buy ISA, govt payment question.

[Benbay001]

Hi, I opened my HTB ISA Shortly after they came out in 2015(?).
Since then, there has been at least 1 year where i havnt paid anything into it.

When they calculate the 25% that the government contributes, do they check that £200 has gone in every month? Or is it total ISA savings devided by the number of months the account has been open?

Ie can i just top it up with cash from another account to make it up to the value it would be at if id paid in every month?

I hope this isnt confusing.

Thank you
Ben

[chris285]

It's 25% on the balance in the ISA when closed by a solictor at the end of the process, the payment inconsistency should have nothing to do with it as it's the final balance up to 3k where to you get the government contribution based on my understanding.

[btdk5]

You are not able to make up the shortfall by lump sum additions.

If you miss a month, you cannot overpay in subsequent months.

[Benbay001]

Thanks both, but the answers are inconsistent. Anyone able to weight in on either side?

[ericmcn]

You should put in a lump sum first and then monthly payments, at least that's with Halifax. I put in the maximum amount at the start and then monthly payments.

I doubt you can just flog a payment in one go.

[chris285]

Yes you pay in a lump sum or not at the start that is the one chance for this, then you setup the monthly addition which can be adjusted

But the 25% is on your final balance at the end, i actually had the solicitors contact me about this as they need the closing statement to claim the 25% for me

[barker22]

I also have a HTB. My understanding has been if you miss a payment then you miss out on that month. You can't pay a lump sum to make up the shortfall

[Jimmy Recard]

You can pay in a maximum of £200 per calendar month. That stands whether you’ve missed payment months or not

[Benbay001]

Ok,
Thanks all.

[Nickbrapp]

If you’re not planning to buy in the next year I suggest you move it all to a Lisa

A Lisa allows you to put up to £4000 a year in, either lump sums or up to £400 a month

Transfer before the 1st April and any money you have in the HTB won’t go towards the limit for next year

They also pay the bonus monthly from April.

[Benbay001]

Nickbrapp said:

If you’re not planning to buy in the next year I suggest you move it all to a Lisa

A Lisa allows you to put up to £4000 a year in, either lump sums or up to £400 a month

Transfer before the 1st April and any money you have in the HTB won’t go towards the limit for next year

They also pay the bonus monthly from April.

Thank you, but im looking to buy as soon as i find somewhere i like