If I close a fixed-rate cash ISA before it matures (incurring a penalty), am I able to transfer into an S&S ISA?
At the start of this tax year I deposited 10k into a YBS Fixed Rate Cash ISA (4.15%, 1 year term), and I'm strongly considering transferring it to my S&S ISA to invest into ETFs for long term growth (I'm 26M, have very few expenses and likely won't need this cash in the near future). I'm aware of the 90 day interest penalty, but was thinking it was worth getting my money invested ASAP.
I was wondering if closing a fixed rate ISA early would a) preserve its status as an ISA and b) allow me to transfer to another ISA, without eating into my ISA allowance?
Also, what would you guys do in my position?
Many thanks in advance!
Posted Aug 8, 2025, 5:00 PM UTC
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