Transfer your ISA to Moneyfarm

When choosing to transfer an ISA, you may want to change the type of ISA you hold to better suit your goals. The two most common types for individual savers are Cash ISAs and Stocks and Shares ISAs. There are huge benefits to both and we urge investors to do some research or speak to a financial consultant before making any decisions.

Traditionally, cash has been a safe haven for savings. When interest rates are higher than inflation, keeping money in cash is a safe way of maintaining and growing your wealth (albeit slowly) for the future. However, in periods of rising inflation and low interest rates, your money could be losing purchasing power over time. In situations like these, holding cash is a safe way to guarantee losing money in real terms over the long run. Recently, we performed a study, comparing the performance of a hypothetical Cash ISA against that of a hypothetical Stocks and Shares ISA over the course of 10 years. Check out the full report here.

There is no limit to the amount you can transfer in any given tax year. From a legal and tax standpoint, transferring an ISA worth £4,000 is the same as transferring one worth £50,000.

The £20,000 tax-free annual contribution limit only applies to new contributions. This resets every tax year and rose from £15,240 to the much more memorable £20,000 in 2017. So, you could feasibly transfer a large ISA and then contribute the full £20,000 to it within the same tax year.

In short, there is no right or wrong time to transfer an ISA. In terms of the administrative side, you can transfer whenever you like and we’ll get to work making it happen right away. There may, however, be some things you want to do before you make the decision to transfer.

Many people assess their financial holdings when the end of the tax year is approaching, for example. We recommend regularly assessing your financial situation on a periodical basis, comparing your portfolio’s performance with that of your service’s peers. This might be after you’ve inherited a lump sum and want to ensure it’s going to the right place, or when your annual bonus comes in. There is no right or wrong time to transfer an ISA, just be sure it’s the right decision for you and seek financial advice if necessary!

ISA transfers do not count towards your annual ISA allowance. If you had the full £20,000 allowance remaining before the transfer, you’d still have £20,000 to use after the transfer.

Any additional savings or investments you make within the tax year on top of your existing ISA savings and investments, will count towards your annual allowance for the tax year. An ISA transfer does not count as a new ISA subscription, so if you are transferring ISAs from previous tax years, this has no impact on your ISA allowance for the current tax year.

Moneyfarm does not charge for transferring in or away from Moneyfarm, however your existing provider may have charges. Make sure you’re aware of these before you make any decisions. We will also never charge you for withdrawing your money from a Moneyfarm ISA. Once you’re with us, this stuff is completely free of charge.

Yes you need to open an account before we can transfer your ISA to Moneyfarm.

This can be done in around 15 minutes – we just ask that you fill out a short questionnaire to help us determine your investor profile and allocate a portfolio that suits your goals. It’s also no obligation, so you can create a Moneyfarm account without funding it to take a look at the service and chat to a member of our investment consultancy team.

The simple answer here is yes, you can transfer as many ISAs to Moneyfarm as you like. Remember to fill in a new form for each ISA.

It is possible to transfer all or only part of your ISA allowance to a different provider. However, if you have already made an ISA subscription for the current tax year, and wish to transfer that money to a new provider, you will have to transfer the total ISA.

Also, we generally recommend that people focus on consolidation of their ISAs rather than spreading them out. It can be tempting to hedge your bets and hold assets with different suppliers, but if your current provider isn’t offering the performance or the service you’re looking for, it can pay to switch the whole thing.

Whilst we are transferring your ISA we lock it, which means you can’t contribute to your ISA during this period. Once your Moneyfarm Stocks and Shares ISA has been unlocked and you see trading executions on your account, you can contribute to your ISA again.

Legally, to open a stocks and shares ISA, you must be at least 18 years old and must be a UK resident for tax purposes. These are the only legal requirements.

However, there are a number of recommended requisites before opening a stocks and shares ISA. For example, we recommend that investors have paid off any outstanding debts and saved enough cash for a rainy day before they start investing. Similarly, it’s always advised to do plenty of research before you invest, as well as making a broad financial plan for the medium and long term. We can help with this. If you want to get in touch with a member of our investment consultancy team to see how they can help your financial planning, book a call here.

The beauty of an ISA as flexible as Moneyfarm’s is that you can take money out of your ISA whenever you want. Withdrawing from a Moneyfarm ISA is completely free of charge and doing so will have absolutely no impact on your ISA allowance for that tax year.

From 6 April 2016 onwards, investors have been able to take money out of a cash ISA or a stocks and shares ISA and put it back in without losing that part of their allowance, provided they put it back in the same tax year. When it comes to adding to or withdrawing from your Moneyfarm ISA, you’re always in control.

Don’t worry, we can help with this. The ISA transfer form is provided to you once you have created an ISA portfolio using the ISA transfer option. Alternatively, if you already have an ISA with us, you can access the form inside your account. Simply go to ‘details’ on your ISA portfolio, and then ‘actions’ to find the form.

From here, the process is over to us. Once your form is completed and passed over, we’ll organise the rest and get your new ISA set up in no time.

To transfer your money away from Moneyfarm, please contact the provider you wish to transfer to. They should arrange the transfer of your funds on your behalf. Please note that we can’t transfer your investments ‘in specie’, but can only transfer your assets as cash. To allow for this, all your assets will be liquidated within 7 days of receiving your transfer request. We won’t charge you a thing to transfer away from Moneyfarm or to close your account, but your new provider may, so please be aware of all fees you will be required to pay before you start.

You can transfer an ISA at any time, and you can transfer as often as you like. Remember, if you have saved into a fixed rate Cash ISA there may be a penalty if you transfer before the end of the fixed term.

Once we receive your transfer form, Moneyfarm’s investment consultants will get to work right away. We’ll contact your current provider to transfer your ISA to our service – safely and securely. This normally takes between 15 and 30 days, but is completely dependent on your current provider.

It’s possible to transfer all or part of your ISA from previous years to a different provider. However, if you want to transfer money you’ve invested in an ISA during the current year, you must transfer all of it.

ISA transfers don’t count towards your annual ISA allowance. An ISA transfer doesn’t count as a new ISA subscription, so if you’re transferring ISAs from previous tax years, this has no impact on your ISA allowance for the current tax year.
Once you start investing in your ISA in the new financial year, this will count towards your annual ISA allowance.

Yes, you can transfer existing ISAs from other providers by simply completing a Moneyfarm ISA transfer form and returning it to us. This form is provided to you once you’ve created an ISA portfolio using the ISA transfer option, or if you already have an ISA with us you can access the form inside your ISA portfolio under the actions section.
To start the process, return the completed form to us and we will then contact your existing ISA provider to arrange the transfer. It will be possible to transfer both Cash ISAs and Stocks & Shares ISAs to Moneyfarm, however we will always hold your investments in a Stocks & Shares ISA. We do not currently offer a Cash ISA.
Any Stocks and Shares ISA that is transferred won’t hold the same investments as before. We instruct the current ISA manager to sell the investments and transfer the ISA as cash for us to invest. This preserves your ISA’s tax-efficient status and allows us to manage it in the most appropriate way for your goals, timeframe and attitude to risk.
This process usually takes 15-30 days, but depends on your ISA provider.