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Flexible ISA's

Practical Issues
StayinAlive
Posts: 5
Joined: November 7th, 2016, 10:16 am

Flexible ISA's

#124486

Postby StayinAlive » March 13th, 2018, 10:25 am

Can someone confirm what effect Flexible ISA's have on Shares ISA's. For example, if I had £20K already existing in a flexible cash ISA at the start of 2017/18 and gradually withdrew it all during the year, I would be able to deposit £40K into that ISA before the end of that year (replacement money plus new money).
But what if I just replaced the £20K that I had withdrawn - effectively making it a "no net change" situation. Am I then free to use the entire 2107/18 allowance on a new Shares ISA?

CryptoPlankton
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Re: Flexible ISA's

#124981

Postby CryptoPlankton » March 15th, 2018, 2:04 am

StayinAlive wrote:Can someone confirm what effect Flexible ISA's have on Shares ISA's. For example, if I had £20K already existing in a flexible cash ISA at the start of 2017/18 and gradually withdrew it all during the year, I would be able to deposit £40K into that ISA before the end of that year (replacement money plus new money).
But what if I just replaced the £20K that I had withdrawn - effectively making it a "no net change" situation. Am I then free to use the entire 2107/18 allowance on a new Shares ISA?

I have withdrawn and replaced £10k in one S&S ISA (long story!) while funding another with the maximum allowance in the same tax year so, as long as you are sure the replaced funds are treated as such by that ISA provider, it is certainly possible to do as you describe. It doesn't matter what combination of types of ISA (cash or S&S) are involved.

air04
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Re: Flexible ISA's

#126662

Postby air04 » March 21st, 2018, 10:02 am

https://www.moneysavingexpert.com/savings/flexible-ISAs
It has it covered in detail

I think YES is the answer to "Am I then free to use the entire 2107/18 allowance on a new Shares ISA?"


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