Charity ISA Frequently Asked Questions
Q.
What is an ISA?
Q.
What type of ISAs are available in the market?
Q.
Subscription limits
Q.
Can I transfer the balance on an existing ISA account into the Charity ISA?
Q.
What is the interest rate on the Charity ISA?
Q.
When is interest paid?
Q.
How is the bonus calculated?
Q.
How do I pay into the account?
Q.
When is the latest I can apply for Charity ISA this tax year?
Q.
How can I withdraw funds from my account?
Q.
How much can I pay in?
Q.
I've already got a Cash ISA, so can I apply for one with you?
Q.
Do I need to open a new Charity ISA each tax year?
Q.
Can ISAs be opened in joint names?
Q.
When will I get a statement on my account?
A. An ISA (Individual Savings Account) is a scheme of tax-free investment introduced on 6 April 1999 to replace TESSAs and PEPs.
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A. From 6 April 2008, there are two types of ISA:
- cash ISA
- stocks and shares ISA
Every adult has the ability to save £7,200 in one or more ISA accounts. Up to £3,600 of that allowance can be saved in a Cash ISA account with one provider. The remainder of the £7,200 can be invested in a stocks and shares ISA with either the same or another provider. Charity Bank offers a Cash ISA only.
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A. The annual subscription limit for the Charity ISA for all tax years up to and including 2008-2009 is £3,600 per annum.
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A. Yes, you can transfer Cash ISA balances into the Charity ISA. However you cannot transfer the balance on a stocks and shares ISA.
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A. The interest rate has been set initially at 4.50% p.a.
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A. Interest is calculated daily and added to your account annually on the last day of December each year.
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A. Provided no withdrawals are made over the period, a bonus will be calculated based on the average annual balance over the first five years of the account. If the account holder dies before the end of the first five years, the bonus will be pro-rated accordingly and paid to the charity indicated on the original application.
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A. By cheque, payable to Charity Bank or by direct debit. Click here for our
contact details.
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A. The very latest you can apply is the 5th April 2009 but we need your application form and initial deposit no later than 31st March 2009 to allow time to process your application.
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A. You need to give at least 30 days notice in writing for any withdrawals.
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A. The minimum initial deposit is £100 and you can add to this at any time. You can pay up to £3,600 into a Charity ISA in any tax year.
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A. You can transfer any existing Mini Cash ISA or TOISA held with another institution into a Charity ISA, without losing your ISA tax-free allowance. Please ask us for a transfer form.
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A. No. You can carry on paying into one you already have.
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A. No, the accounts are for individuals only.
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A. In January each year.
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