Changing ISA account
Discussion
I currently have an ISA account which is now paying next to nothing in interest.
As you can only invest in one ISA per year, how do I go about changing it? I pay x amount into the ISA each month, so would it be a case of paying into my current one until March and then start a new one from April?
Cheers.
As you can only invest in one ISA per year, how do I go about changing it? I pay x amount into the ISA each month, so would it be a case of paying into my current one until March and then start a new one from April?
Cheers.
XDA said:
I currently have an ISA account which is now paying next to nothing in interest.
As you can only invest in one ISA per year, how do I go about changing it? I pay x amount into the ISA each month, so would it be a case of paying into my current one until March and then start a new one from April?
Cheers.
You can transfer your ISA to a new provider who pays a better rate of interest at any point in the tax year; however, around tax year end most Cash ISA providers will be offering headline grabbing deals to attract new business...As you can only invest in one ISA per year, how do I go about changing it? I pay x amount into the ISA each month, so would it be a case of paying into my current one until March and then start a new one from April?
Cheers.
Most of the better rates will be on fixed rate ISA's which you generally can't sub to on a monthly basis...
cannedheat said:
You can transfer your ISA to a new provider who pays a better rate of interest at any point in the tax year; however, around tax year end most Cash ISA providers will be offering headline grabbing deals to attract new business...
Most of the better rates will be on fixed rate ISA's which you generally can't sub to on a monthly basis...
Thanks for clearing that up.Most of the better rates will be on fixed rate ISA's which you generally can't sub to on a monthly basis...
The new one I have in mind isn't fixed so that shouldn't be an issue.
The current ones paying 0.50% so I've been meaning to change it for awhile now, and it just so happens to be nearly the end of the tax year.
Depending on which provider you are with, if they offer new customers a bonus rate as an incentive you can ask them to update your account to the latest issue.
I have to do this every year with my Santander ISA. Just pop into the branch sign a form and it's updated to the latest higher rate. Don't know why they can't do it automatically but that would be too easy.
I have to do this every year with my Santander ISA. Just pop into the branch sign a form and it's updated to the latest higher rate. Don't know why they can't do it automatically but that would be too easy.
You don't apply to 'open' a new ISA when completing a transfer, you apply to transfer your monies and the account will be opened for you.
For an example - to transfer into a HSBC fixed rate ISA, you'd go here and fill in the linked form. HSBC would then write to your existing provider who'd close your existing account and send the monies to HSBC who'd then open the new account for you.
For an example - to transfer into a HSBC fixed rate ISA, you'd go here and fill in the linked form. HSBC would then write to your existing provider who'd close your existing account and send the monies to HSBC who'd then open the new account for you.
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