Special offer: 8,000 Virgin miles for opening a Virgin Money ISA

(EDIT:  this offer is extended to 31st July)

With the new tax year now underway, Virgin Money is currently offering an impressive 8,000 Flying Club miles to anyone who opens a new stocks and shares ISA.

See here for full details.

This is an attractive offer given that the usual deal is just 5,000 or 6,000 miles.  The offer runs until 30th June.

I would, however, flag up two things:

Last year Virgin Money offered 12,000 miles in May / June – it is possible they could offer a better offer later in the year

If you open a Virgin Money ISA, you would be unable to take advantage of any future Nutmeg ISA promotion to earn Avios (don’t bother opening a Nutmeg ISA at the moment as the bonus is only 2,500 Avios) – and Nutmeg has lower fees than Virgin Money

Virgin Money

There are two ways to invest. You can either invest a lump sum of £2,500, or make a £100 monthly investment for at least six months.  In either case, you must leave the account open for six months or the miles may be clawed back.

(Note that the minimum investment has gone up from £75 to £100 and the minimum lump sum has gone up from £1,000 to £2,500.)

There are six different investment funds to choose from.

Now, this is obviously an investment and so could lead to the loss of your capital.

The less risky option is £100 x 6 months = £600 invested. If you valued the miles at £80, you would still come out even with a 13% fall in the market by the time you exit.

The £2,500 lump sum investment is clearly riskier – the value of the miles is wiped out with just a 3% fall in the market.

You cannot open this ISA if you already have a ‘stocks and shares’ ISA for the current tax year. You can open one if you only have a ‘cash’ ISA for the current tax year and have not invested your full £20,000.

As always with financial issues, take proper advice if necessary.

In general, the miles post VERY quickly, often within a week.

There is an additional upside to having a Virgin Money product – you are able to use the Virgin Money lounges in London and various other cities across the UK.  They are surprisingly pleasant and, ironically, I am typing this in the Piccadilly Virgin Money lounge which I reviewed here because I have a lunch just around the corner!

(Want to earn more Virgin Flying Club miles?  Click here to see our recent articles on Virgin Atlantic and Flying Club and click here for our home page with the latest news on earning and spending other airline and hotel points.)

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Comments

  1. I’ve done this a few times, usually closing my account after 6 months. This time however, I haven’t closed my ISA 2016/17 Isa although I intend to in the next week or so.

    I’m not sure if something similar to the 6 month rule you have with some credit cards applies here? Can anyone clarify if there likely to be any issues with me getting the offer if I open my 2017/18 one in the next few weeks?

    • apologies – just read the thread above this! Going to close the current Isa now and leave it for 6 months and see what’s available then…