The Lemon Fool

Hi, what are some options of ISA provider to just hold my money for a while with no holding or exit fees? I just want to take advantage of this years £20,000 before the tax new year but I have not ready to actually invest. I wish to be able to transfer start investing after april. Thanks.

X.o.co.uk

No ongoing fees I think. Whether that is the best provider for your longer term goals I don't know.

Not sure about their exit fees.

teroja wrote:Hi, what are some options of ISA provider to just hold my money for a while with no holding or exit fees? I just want to take advantage of this years £20,000 before the tax new year but I have not ready to actually invest. I wish to be able to transfer start investing after april. Thanks.

You could put it in a Cash ISA now and transfer to a S&S ISA when you're ready after 6th April.

Adrian

teroja wrote:Hi, what are some options of ISA provider to just hold my money for a while with no holding or exit fees? I just want to take advantage of this years £20,000 before the tax new year but I have not ready to actually invest. I wish to be able to transfer start investing after april. Thanks.

You may find that some ISA managers do not allow cash to be held in their ISA. I have seen this in an ISA run by a fund management company some years ago.

TJH

teroja wrote:Hi, what are some options of ISA provider to just hold my money for a while with no holding or exit fees? I just want to take advantage of this years £20,000 before the tax new year but I have not ready to actually invest. I wish to be able to transfer start investing after april. Thanks.

I'd go with Vanguard, and then as it's a flexible ISA, you can whip the money back out again on the 6th April, but retain the allowance.

https://www.vanguardinvestor.co.uk/need ... exible-isa

Also, you could do the same with a flexible cash ISA, there are plenty of those around nowadays.

Some used to have a vague rules around large cash holdings but I doubt many do these days
I assume it was to stop ISA providers paying a healthy interest rate on cash balances in an Equities ISA , thus providing a Cash ISA via the back door (when there were limits to subscriptions by ISA type)
I've never had any problems holding a sizeable cash balance in my HSDL ISA (earning 0% of course)

Certainly you should have no issues bunging £20k into a new ISA now and investing it post-April 5th (or transferring to a different ISA if you want)

AJC5001 wrote:

teroja wrote:Hi, what are some options of ISA provider to just hold my money for a while with no holding or exit fees? I just want to take advantage of this years £20,000 before the tax new year but I have not ready to actually invest. I wish to be able to transfer start investing after april. Thanks.

You could put it in a Cash ISA now and transfer to a S&S ISA when you're ready after 6th April.

Adrian

Or you could put it in Hargreaves Lansdown. https://www.hl.co.uk/news/articles/the-stress-free-way-to-secure-this-years-isa-allowance

If you don't like their charges, you can transfer after 6th April as above.

Adrian

teroja wrote:Hi, what are some options of ISA provider to just hold my money for a while with no holding or exit fees? I just want to take advantage of this years £20,000 before the tax new year but I have not ready to actually invest. I wish to be able to transfer start investing after april. Thanks.

Search DuckDuckGo.com for "monevator compare brokers"

tjh290633 wrote:

teroja wrote:Hi, what are some options of ISA provider to just hold my money for a while with no holding or exit fees? I just want to take advantage of this years £20,000 before the tax new year but I have not ready to actually invest. I wish to be able to transfer start investing after april. Thanks.

You may find that some ISA managers do not allow cash to be held in their ISA. I have seen this in an ISA run by a fund management company some years ago.

"some years ago" it was, effectively, against Share ISA rules, and they would prompt you if there was too much cash sitting around for a long time. AFAIK that is no longer the case.

XFool wrote:

tjh290633 wrote:

teroja wrote:Hi, what are some options of ISA provider to just hold my money for a while with no holding or exit fees? I just want to take advantage of this years £20,000 before the tax new year but I have not ready to actually invest. I wish to be able to transfer start investing after april. Thanks.

You may find that some ISA managers do not allow cash to be held in their ISA. I have seen this in an ISA run by a fund management company some years ago.

"some years ago" it was, effectively, against Share ISA rules, and they would prompt you if there was too much cash sitting around for a long time. AFAIK that is no longer the case.

It wasn't that rule, it was one of their own that any money in your account had to be invested in one of their products. Cash was not allowed.

TJH

tjh290633 wrote:It wasn't that rule, it was one of their own that any money in your account had to be invested in one of their products. Cash was not allowed.

For some years there was a Government rule that it wasn't allowed to hold cash or near cash (including Gilts/Bonds up to five years) in a Stocks and Shares ISA. That might have been because the contribution limit was £ 6,000 for share ISAs but only £ 3,000 for cash ones. Obviously if you had only just put the cash in, you were allowed a grace period. It might have been several months, as I recall sitting on the cash for a few months when markets were mostly diving. Eventually the ISA provider sent a letter reminding me to "get on with it" in terms of using the cash balance.

Alaric wrote:

tjh290633 wrote:It wasn't that rule, it was one of their own that any money in your account had to be invested in one of their products. Cash was not allowed.

For some years there was a Government rule that it wasn't allowed to hold cash or near cash (including Gilts/Bonds up to five years) in a Stocks and Shares ISA. That might have been because the contribution limit was £ 6,000 for share ISAs but only £ 3,000 for cash ones. Obviously if you had only just put the cash in, you were allowed a grace period. It might have been several months, as I recall sitting on the cash for a few months when markets were mostly diving. Eventually the ISA provider sent a letter reminding me to "get on with it" in terms of using the cash balance.

That rule said that money could only be held in a PEP for the purpose of investing. The time for which it could be held was never defined. I don't think it ever applied to ISAs.

What I am talking about was the rule of some unit fund managers that cash could not be held. Some had a quasi-cash account. Prudential, for example, had a Cash Haven Unit Trust, where cash could be parked, but you could not leave cash uninvested. It had to be in a product.

TJH