How will Bed and ISA work with Freetrade when new ISAs open in April 2019. Will investments have to be manually sold off and then bought again, which means being affected by stamp duty and the bid-ask spread again. Or will Freetrade do this in a way that investments do not occur these charges.
You won’t have the option to use Bed & ISAs in April. But it’s something that we’ll consider offering in the future.
In the meantime, Nicola explained the process for transferring between your regular Freetrade account (GIA) & your Freetrade ISA here -
So I assume this means I have to pay the spread and stamp duty again.
Seems like it is simply unavoidable, yes
I will just move to cash earlier then, on a market high if I can. Hopefully when the new ISA is released, the market is down and I can make up the 0.5% stamp duty and spread. I’m not moving a lot of money, probably around £4,000 around then.
Hargreaves were the worst with Bed and ISA, they took 6 weeks one time to do it for free, i.e. I pay no commission and no stamp duty. But I was moving a much larger amount then.