The other thing about ISA’s it that there’s nothing stopping you switching provider for cash or shares ISAs; in fact it can be a good idea to make sure you continually get a top rate particularly important for cash ISAs. Yet it isn’t like switching a standard savings account; transferring an ISA is a technical process.
Keeping on top of your ISA contributions and keeping them in the best accounts as part of your financial portfolio is something expert IFA’s like Enable of Bishops’ Stortford are happy to do for you. But there is one golden rule for ISA transfers rule, never, ever, ever, ever withdraw money from a cash ISA in a transfer process you’ll immediately lose all the tax benefits.
It is vital that you speak to the new provider and fill out a transfer form. This will usually include a note you can send to your existing ISA company. Your new company should then sort it all out, including moving the money over for you, keeping your tax benefits in tact. If you want to, transfer a shares ISA it may be necessary to pay another initial charge.
That’s the key thing to remember, but when transferring ISAs what you can do depends on what type of ISA you want to transfer. For past years’ Cash ISAs. You may move ALL of this to another Cash ISA or into a Shares ISA, or SPLIT it between more than one Cash or Shares ISA. Past years’ Shares ISAs. You may move ALL of this to another Shares ISA, or SPLIT it between more than one Shares ISA. You may not move any of it into Cash ISAs. Not all ISA providers however will accept transfers of previous years’ allowances.