I have a mature TESSA (now called an ISA) with the Halifax which gives me 3.7% interest. I would like to transfer this to another provider who gives a much better rate of interest . As the sum is £10,000 I could be earning another £100 per year. How easy is it to actually transfer this account, so that I dod not lose its Tax Free status.
First find a new provider. Then fill in new application form (most will have a transfer of ISA form - well Lloydstsb do anyway) and hand back to new provider.They should then liaise with Halifax to close old account and open new one for you. If by any chance Halifax mess up (they probably will!) and send you a cheque for the balance - send it back to them and ask them to send it to your new provider. You will lose out on some interest between the closure of one account and the opening of the new but this should not be more than say 10 days (if you're lucky!).
Thanks for the information - yes Halifax will probably screw up; another reason for getting any from them!
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Why not tell the Halifax that you want to convert it into a Direct Saver ISA? That pays 5% You should be able to do it over the phone, or in person at your local branch.
I tried to open a Halifax web account sometime back - they insisted I gave them proof of identity, even though I had been banking with them for many years, and had not changed address. Eventually, as proof of identity, I sent them a statement, issue by them, addressed to me at my current address. They accepted this. I would prefer not to have dealings with a company who is so stupid!
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