Tips to Convert Cash ISA to Share ISA

ISA or individual savings account is an investment product available to UK citizens. They can invest in this savings account and get a tax-free return. You can avail two types of ISAs – Cash ISAs or Shares and Stocks ISAs. If you invest in cash ISA you can save a fixed amount for a fixed term and get a promised amount on return (including the interest). If you invest in shares you can either invest a fixed amount for five to six years or you can go for an open account where you can invest for as long as you want.

You can transfer your Cash ISA to Share ISA following a few regulations.

Gather information about all the Share ISAs available. Some will accept fund transfer for free while others may charge some fee. Decide whether you want to buy shares yourself and then hold the shares in the ISA or you want your service provider to invest your money in stock market.

Apply to the new service provider through mail or phone. The new provider will contact your existing ISA provider and take necessary steps to transfer the money. If you are transferring fund within the same tax year then transferring the entire amount will be a wise decision.