The ISA Changes Are Not What You Think.

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[chrispalmer]

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[mpw]

I think the advantage of multiple ISAs is for cash ISAs, and specifically fixed rate ISAs.

Someone who puts £5, 000 in a fixed rate cash ISA (which doesn't allow further deposits) in April cannot put any more money into a cash ISA that year. For people who don't want to use S&S ISAs, they effectively lose £15, 000 of their ISA allowance.

I've seen cases where someone put £1 in to open the account and missed the deadline to fund the fixed rate ISA. They effectively lost their entire ISA allowance for the year.

In my experience, this disproportionately affects older consumers. I think this change is overwhelmingly positive for that alone.

The need to declare which ISA you're using causes problems too. People try to fund their ISA at the end of the tax year, but because the ISA is "dormant" the ISA provider rejects the money. The consumer then doesnt have enough time to sort it out by the end of the tax year and misses out on their allowance.

Really, that rule is only there because people can only fund one of each ISA each year, so HMRC needed to know which account was in use. By getting rid of the first rule, the second one is no longer needed.

[minimad]

Thanks for the update dude. I reckon that the "certain" was something they had to put into words as they hadn't worked out how to implement it at the time of publishing. I am sure it will be worked out prior to the next tax year coming along. I will be opening a second ISA account as I want a main one for long term and another for mid term usage. A good thing but the digitisation will need to be spot on.

[livingart]

I like that I can use more than one trading Isa from April.
I use T212 for individual stock picks but prefer the index fund options in Vanguard.
I keep expecting an announcement that they are reducing the £20k yearly limit for our Isa accounts.

[realist.network]

I don’t think it’s fair to even consider the pension contribution limit when deciding whether the ISA limit is okay because many of us don’t want to be working until we’re 57 (and the age we can collect our pension is likely to rise even higher in 20, 30 etc. years’ time).

If we want to be able to retire while we still have our health, we need to be able to invest more than £20, 000 a year in an ISA.

[Tim_Bassett]

A good summary Chris. Personally I'll be sticking with IE and the 3 ETF's I currently have....although your other video "certainly" has me thinking that i should swap and save some charges....its just selling and buying which puts me off. i may just start putting into the other ETF's and see how they do first. In terms of governments - you are right....the limited both annual and lifetime will change depending on who's in and how much they need to they should really focus on updating the whole taxation system and not put off people from investing/saving. take care.

[aleksal]

I would be apprehensive of holding funds in Webull which is a Chinese owned company.

[BaileyMxX]

Even the last few year it has already been only certain stocks that could be held in ISAs. They had to be held on eligible stock exchanges, the reason you can't hold certain chinese stocks in an ISA for instance.

Therefore it's always been "certain stocks" now its "certain fractional stocks"

[michaelgood]

Thanks for researching and condensing this info for us mate. Another decent video. Il keep with my Investment ISA, all I care about is they don't lower the limit and keep them going.

[garyukdividendinvestor]

I have 3 ISAs and premium bonds. Cash ISA literally don’t use as my parents forced me to open it and put money they gave me into it. Stocks and shares ISA where I dividend invest and a lifetime ISA which I just started and already have 2k in it which I should max for this tax year. Then I have premium bonds as well as a sort of emergency fund / sole potential winnings etc. I think aparts from the cash ISA I don’t like as not my choice. I have a good strategy that I feel that works. I also have a GIA with two stocks so I can get friends to sign up to Freetrade to gain more money

[DogScreenTV]

Be interested on the figures around LISAs. I currently invest in VUSA, but unsure whether I should put all 20k allowance into it or 16 into it and 4k into the LISA

[notwkrail]

Can you split 20k berween a stocks and shares isa and a cash isa in the same tax year ?

[TheTechAccountant]

Quick question mate, I’ve had a HL S&S ISA which I opened in 2021 and have contributed to it this tax year. In preparation for next tax year, can I open a T212 S&S ISA before March and not contribute to it just to have it open despite me having contributed to the HL one?

[andellio]

Good points raised Chris, perhaps Snoop could do something like this as it can track multiple Current Accounts and Savings at the moment, one advantage i like is a partial and gradual Transfer should make it less risky than transferring the Full amount as what would have been the only other option until now. As we all know timing the market is nigh impossible!

[stevehawkes]

Multiple ISAs? No way for me. Keep it simple!!!

[benpriest]

Good video Chris - first time someone has flagged the 'certain' that I've seen, very interesting

[Clarioner]

I find the Webull UI very "busy"... maybe seomone (ahem) could do a walk-through video?

[mrlolmaster]

next year, im going to keep my trusty coca cola (Vanguard) account but open a trading 212 accounting to invest in reliable companies ie Apple, google, amazon, microsoft, nike, coca cola, mcdonalds etc. as well as index funds for safety

[dafyddjones]

I think that being able to have multiple ISAs in a tax year is good. Currently if you locked £10, 000 in a cash ISA for 1 to 2 years you would not be able to max out your cash ISA later on in the year .

[kaxar]

You cannot have a lifetime ISA if you are over 40.