Top Cash NISAs 2014/15

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Thanks folks,
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  • Archi_Bald
    Archi_Bald Posts: 9,681
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    You've probably heard of cash ISAs, but they don't exist anymore.

    I believe it would be more correct to say that the terms ISA and NISA can now be used interchangeably and mean absolutely the same. Most providers still offer ISAs, and any existing ISAs still exist. Providers are not obliged to change the name to NISA, and many won't change since it is an avoidable cost.

    The HMRC also continues to call them ISAs: http://www.hmrc.gov.uk/isa/faqs.htm
    And even if you opened a cash ISA at the beginning of the new tax year on 6 April and maxed that out with the full £5,940, you'll now be able to top it up to the full £15,000 if you choose
    This should be qualified because it is not so straight forward in all cases. There have been reports that one or two smaller providers will not allow more than £5,940, despite the increase in allowance. On all fixed term ISAs, there is only a limited window for additional deposits.
  • jimjames
    jimjames Posts: 17,532
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    edited 11 July 2014 at 11:21AM
    Yet again a guide that makes very little mention that for most people an ISA is not the best place to put their money at the moment.

    There is a mention at point 5 that current accounts exist but even then it makes no reference to the TSB accounts which can take £4000 at 5%. Yet the top line shows an ISA paying 1.5%, why is that? For site dedicated to saving money it seems truly bizarre that best rates are not shown.

    Please, please MSE make your guides useful to the average person who has less than £2000 of savings. The person who can save £15k per year isn't a majority of the population.

    As many current accounts only allow sub £3,000 worth of savings, it's worth saving in both a current account and a cash NISA if you've got more than that

    NO mention that you can have multiple accounts at different providers and that you can get over £10k at better rates than an ISA.
    Remember the saying: if it looks too good to be true it almost certainly is.
  • guitarman001
    guitarman001 Posts: 1,052 Forumite
    edited 11 July 2014 at 12:34PM
    Got to say it doesn't look like I'll be putting my money in a cash ISA - total waste of time as rates are so poor.

    But I also don't want to put more money into my shares ISA as that would then take it to 20% of my total (too much considering it's short term money).

    So what are the options? I really cannot be *rsed moving money in ten thousand bank accounts like I did last couple of years :(

    EDIT: Santander 123 - is that worth it even though I don't have any household bills to pay at all?

    Apart from that I have the option of club Lloyds (ugh, yet another bank account), renew my First Direct (tempted to switch main account to them to get £100 but such a hassle, plus I don't think the interest on this account is that much more than my BoS & TSB 3% accounts) or open a 3rd Bank of Scotland 3% account.

    Crap options, really! My money is sitting in Santander ISA now doing nothing so really need to move it.
  • ejv
    ejv Posts: 315
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    Sorry if this has been answered elsewhere:A.
    Is it allowed to split the NISA into different banks?
    Coventry 1 yr fix(1.85%) is good option for me, but wouldn't allow transfer in of my old ISA.
    I may have to look for another bank which allows transfer in(these would have poorer interest rate),but may require a minimum amount(£1-£1000) to start the NISA.
    So is it possible to split a 2014 NISA with £14K in Coventry, and £1K in second, and then transfer in old ISA to the second bank??
    Thanks
  • colsten
    colsten Posts: 17,597
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    ejv wrote: »
    Sorry if this has been answered elsewhere:A.
    Is it allowed to split the NISA into different banks?
    Coventry 1 yr fix(1.85%) is good option for me, but wouldn't allow transfer in of my old ISA.
    I may have to look for another bank which allows transfer in(these would have poorer interest rate),but may require a minimum amount(£1-£1000) to start the NISA.
    So is it possible to split a 2014 NISA with £14K in Coventry, and £1K in second, and then transfer in old ISA to the second bank??
    Thanks

    Like has always been the case with cash ISAs, you can contribute to a new one each tax year. You are free to choose the provider each year, and if your provider allows, you can ask them to transfer in ISAs from previous tax years.

    You cannot split your annual allowance across two or more cash ISAs.

    ISAs that allow transfers in will count the transferred in amount as part of the minimum opening amount. E.g. if you wish to transfer £14K into an ISA that has a minimum opening amount of £1K, you just fill in the transfer form and that's it. You do not have to deposit a penny of new money into that ISA.
  • ejv
    ejv Posts: 315
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    Thanx Colsten.:beer:
    Well explained:)
  • ColdIron
    ColdIron Posts: 8,901
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    My money is sitting in Santander ISA now doing nothing so really need to move it.
    But where to? You seem to have ruled out all the better options as you cba or it's too much hassle, this leaves you with few options

    The simple fact is that if you need to be in cash and want to maximise your interest you will have to look at the options you dismiss

    There does not need to be much extra work beyond opening the accounts. I have taken full advantage of many of the usual suspects and since it is all done by standing order it runs itself. I have little to do each month other than moving the interest and that's a job I am happy to do
  • Vortigern
    Vortigern Posts: 3,242
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    Archi_Bald wrote: »
    I believe it would be more correct to say that the terms ISA and NISA can now be used interchangeably and mean absolutely the same.
    I'm refusing to use the N word. Anybody care to join me?
  • colsten
    colsten Posts: 17,597
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    I only use it to explain, to those using the N word, that it means ISA.
  • jimjames
    jimjames Posts: 17,532
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    Vortigern wrote: »
    I'm refusing to use the N word. Anybody care to join me?

    Same here. I think the mse article is highly misleading and will only confuse people further by claiming that ISAs no longer exist when this is completely untrue.
    Remember the saying: if it looks too good to be true it almost certainly is.
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