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Should I put as much money as I can into ISAs now as tax year ends?

The tax year is ending on 5th of april.

I keep getting reminders to 'get the most' out of my isa before this deadline.

My question is: should I try put as much money as I can into the ISA? Will I gain interest on all the money if I do before the 5th of April?

I have never understood how ISA's work. Ive had some money in my account for a few months but I have gained nothing. Why? Do I gain at end of tax year?

Help needed asap!

Thanks in advance:colondollar::yy::tsr2:

Posted from TSR Mobile
Original post by dci.james.turner
The tax year is ending on 5th of april.

I keep getting reminders to 'get the most' out of my isa before this deadline.

My question is: should I try put as much money as I can into the ISA? Will I gain interest on all the money if I do before the 5th of April?

I have never understood how ISA's work. Ive had some money in my account for a few months but I have gained nothing. Why? Do I gain at end of tax year?

Help needed asap!

Thanks in advance:colondollar::yy::tsr2:

Posted from TSR Mobile


Interest is calculated per day, so you only get paid interest for the amount of days you have the money in the account. The interest is then paid as a lump sum, either monthly or annually depending on the account.

The difference between ISAs and normal savings accounts is that you don't pay tax on the interest you earn, but you are only allowed to pay in a certain amount per year, which was Β£15,000 for this tax year. But after the 5th of April, you can put another Β£15k in before the next tax year.

The reason you haven't had any interest on your month so far may be because it is paid annually, you should check the account.
Hi thanks for the reply,

The interest rate on the account is 1.05% gross
Original post by dci.james.turner
Hi thanks for the reply,

The interest rate on the account is 1.05% gross


You can transfer the money to a different ISA if you find one with a better rate, without it counting towards your yearly allowance :smile:

However, you must do this through the banks transfer service rather than withdrawing and depositing the money yourself, otherwise it will come out of your allowance.

Have a look here for better ISAs:

Top Cash ISAs 2014/15

You can get 1.5% from the Post Office :smile:
Reply 5
Consider very carefully whether cash isas' are a good investment. If you plan on leaving than money in an isa long term, consider investing it in a low cost tracker fund or bond fund within an isa envelope.

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