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  • FIRST POST
    • Robp122
    • By Robp122 9th Oct 17, 3:17 PM
    • 2Posts
    • 0Thanks
    Robp122
    Changing savings account with a possible Bank of England's base rate change soon
    • #1
    • 9th Oct 17, 3:17 PM
    Changing savings account with a possible Bank of England's base rate change soon 9th Oct 17 at 3:17 PM
    Hi there,
    So there's lots of talk about the possibility of the Bank of England base rate going up soon and with this in mind, my question is this.
    Do I change my current ISA account (currently at 0.50%) to one that's offering 1.06% or do I wait it out?
    Thanks!
Page 1
    • Alexland
    • By Alexland 9th Oct 17, 3:27 PM
    • 443 Posts
    • 261 Thanks
    Alexland
    • #2
    • 9th Oct 17, 3:27 PM
    • #2
    • 9th Oct 17, 3:27 PM
    Its only going up 0.25pc at best so won't change the market much. The bigger concern is how rates might rise in other countries. Most people can do better than 1.06pc and still be tax efficient.
    • bigadaj
    • By bigadaj 9th Oct 17, 4:17 PM
    • 10,300 Posts
    • 6,605 Thanks
    bigadaj
    • #3
    • 9th Oct 17, 4:17 PM
    • #3
    • 9th Oct 17, 4:17 PM
    Hi there,
    So there's lots of talk about the possibility of the Bank of England base rate going up soon and with this in mind, my question is this.
    Do I change my current ISA account (currently at 0.50%) to one that's offering 1.06% or do I wait it out?
    Thanks!
    Originally posted by Robp122
    You are obviously giving little information to go on, but you can get up to ten times that return from current accounts, and up to six times the return post tax even if you are a higher rate taxpayer.
    • PeacefulWaters
    • By PeacefulWaters 9th Oct 17, 4:23 PM
    • 6,976 Posts
    • 8,587 Thanks
    PeacefulWaters
    • #4
    • 9th Oct 17, 4:23 PM
    • #4
    • 9th Oct 17, 4:23 PM
    Tart yourself around to the highest bidder.

    If the market changes, play the tart again.
    • jimjames
    • By jimjames 9th Oct 17, 5:58 PM
    • 12,088 Posts
    • 10,534 Thanks
    jimjames
    • #5
    • 9th Oct 17, 5:58 PM
    • #5
    • 9th Oct 17, 5:58 PM
    Do I change my current ISA account (currently at 0.50%) to one that's offering 1.06% or do I wait it out?
    Thanks!
    Originally posted by Robp122
    Neither. Why would you settle for 1% when you can get up to 5% instead outside of cash ISAs?
    Remember the saying: if it looks too good to be true it almost certainly is.
    • david78
    • By david78 9th Oct 17, 6:22 PM
    • 1,586 Posts
    • 583 Thanks
    david78
    • #6
    • 9th Oct 17, 6:22 PM
    • #6
    • 9th Oct 17, 6:22 PM
    I would not expect instant access rates to move by much. Maybe 0.05%. Variable rate mortgages on the other hand will go up by more than the increase on day 1.
    • Robp122
    • By Robp122 10th Oct 17, 9:02 AM
    • 2 Posts
    • 0 Thanks
    Robp122
    • #7
    • 10th Oct 17, 9:02 AM
    • #7
    • 10th Oct 17, 9:02 AM
    Neither. Why would you settle for 1% when you can get up to 5% instead outside of cash ISAs?
    Originally posted by jimjames
    What would you suggest I go for? I have around 24k saved.
    • Keep pedalling
    • By Keep pedalling 10th Oct 17, 9:10 AM
    • 3,744 Posts
    • 4,010 Thanks
    Keep pedalling
    • #8
    • 10th Oct 17, 9:10 AM
    • #8
    • 10th Oct 17, 9:10 AM
    What would you suggest I go for? I have around 24k saved.
    Originally posted by Robp122
    Depends on your long term plans for this money. If it's for the long term (10 years or more) then I would be looking at a S&Ss ISA, if not then go for the higher interest rates available outside of ISAs, which you will still get tax free on that amount.
    • superstar
    • By superstar 11th Oct 17, 2:24 PM
    • 2,074 Posts
    • 3,322 Thanks
    superstar
    • #9
    • 11th Oct 17, 2:24 PM
    • #9
    • 11th Oct 17, 2:24 PM
    Providers of the 5% saving rates?

    • RG2015
    • By RG2015 11th Oct 17, 2:46 PM
    • 328 Posts
    • 114 Thanks
    RG2015
    Providers of the 5% saving rates?
    Originally posted by superstar
    Nationwide Flexdirect current account for 1 year and regular savers with Nationwide, Santander, M&S and First Direct.
    • Flobberchops
    • By Flobberchops 11th Oct 17, 7:14 PM
    • 571 Posts
    • 399 Thanks
    Flobberchops
    Pragmatically speaking, I would wait for the proposed base rate change to happen (which it surely will, but who knows when), see what's on offer, and make your decision based on that.

    As others have mentioned, if you're after a significant return you shoudln't be in cash anyway, rate rise or no.
    I work for a UK bank, but any comments made on this forum are solely my personal opinion. Caveat Emptor!
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