What happens to my ISA money after I’m gone?
FINANCIAL EXPERT PHILLIPS ANSWERS YOUR QUESTIONS
QWHAT will happen to my ISA savings when I die? Will they automatically be transferred to my partner or do I need to sort something out now as I have a terminal illness?
AIT IS always best to have an up to date will that spells out your wishes for your assets.
ISAs can be inherited and they retain their tax-free status. Surviving partners get a one-off additional ISA allowance that’s equivalent to the value of the deceased partner’s ISAs when they died.
QI’M THINKING of deferring my state pension for one or two years and wondering if it’s worth it. I’m on track to get the full amount but I’m wondering how much I will get if I wait to claim it.
AIF YOU defer claiming, you will earn extra state pension at 1% of the weekly pension for every nine weeks of deferment, and you must put off claiming for a minimum of nine weeks to get the extra. This equals just under 5.8% for every 52 weeks you defer.
QWHEN clearing out my parents’ house I found my late dad’s savings book from the 1960s. Is there any way I can find out if this account is still open?
AALL I can suggest is take it to the provider on the savings book or contact them.
It’s also likely you will need evidence that your dad has passed away to get any further information.
There’s a website mylostaccount. org.uk which could help you to track lost accounts.
QWE INHERITED my parents’ home and are thinking of taking out an equity release plan on it.
Where would we stand with Capital Gains Tax?
ACAPITAL Gains Tax is only payable upon the sale of a property. It is deducted from the final sale sum. So, you may be able to take out an ER plan on this property and not have to pay any CGT until its final sale.
You would need to get professional advice as you may find some lenders have restricted criteria around this issue.
QCAN you set up children’s savings accounts in branches that offer pass books?
I want to try and get my grandchildren into good money habits and want to turn our Saturday mornings into a weekly trip to the bank
– like I used to do.
AI BELIEVE some passbook savings accounts still exist.
Check banks and building societies around the area where you spend time with your grandchildren to see who offers an account that suits you best.