Investment ISA + Help To Buy ISA


I just realized that Freetrade offers Investment ISA feature for a small fee as subscription. Looks pretty interesting since I heard that there are some TAX benefits to have this sort of account for stocks.

But at the same time, I also have a Help To Buy ISA with my bank where I opened it for few years ago and actively putting £200 each month.

My question is, how are the regulations and laws to have both Help To Buy ISA and Investment ISA. Is this allowed at all? And if yes, under which conditions? E.g. if I still put £200 in my HTB ISA, how much can I put into the Investment ISA provided by Freetrade? Is there anything else that I should be aware of?

(Vladislav Kozub) #2

Hey Arian, welcome to the community! :wave:

This is correct, all your gains and dividends are tax-free forever. You can read further about the detail in one of Freetrade’s blog posts.

Yes, these are completely separate products and you are free to keep and contribute to both simultaneously.

If you put £200 per month, that would be £2,400 per year. At the moment, the limit on all ISAs combined is £20,000 per year. This means you have up to £17,600 to potentially allocate to any of your other ISAs, including Freetrade’s Stocks & Shares ISA you originally referred to.

I assume your only ISA is HTB, in that case, nothing else to care about, you are free to set up an ISA with Freetrade and keep both of them perpetually.

Feel free to ask further if I omitted anything :slight_smile: