I have been paying into a Help to Buy ISA for about 2 years. I recently realised that the Lifetime ISA is much better for my needs.

I know that I have missed the deadline to transfer all my money over. I have also made a payment of £200 into my Help To Buy in April 2018.

Am I able to open a Lifetime ISA and pay £4000 into it in this financial year?

What is the best thing for me to do? I've read up quite a bit but I don't really understand it all that much.

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    I am assuming this is within the UK (based on the currency), it would be helpful or at least good practice to add that (the specific country) as a tag on your question for clarity. – GµårÐïåñ May 9 '18 at 20:03
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    Ahh sorry, I've done that now. – user2397282 May 9 '18 at 20:04

You can have both a Help to Buy Isa and a Lifetime ISA (LISA), so yes you can open a LISA and pay £4000 into it this financial year. You can also continue contributing to your Help to Buy ISA if you wish.

Note that you can only use the bonus from one of them when you come to buy your property and the LISA needs to be open for 12 months before it can be used.

A good guide to the two can be found at Money Saving Expert.

  • I wasn't sure if you are able to pay into two ISAs in the same financial year? – user2397282 May 10 '18 at 11:52
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    You cannot pay into two Cash ISAs, which is what the Help to Buy ISA is categorised as . However, a LISA is a category of its own, irrespective of whether you save as Cash or Stocks, so you can have both running alongside each other. – webdevduck May 10 '18 at 11:54

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