Post Office ISA - 6.25%*

mr113

Found some inside information regarding the Post Office ISA which launches tomorrow morning. I have been aware that one is launching soon for some time, however I found out yesterday that the interest rate will be 6.25% (including a 12 month bonus of 1.5%), will track the base rate until 2010 I think, and is guaranteed never to be below 1% of the base rate for the life of the account.

Minimum investment £1

The top rate paying ISA at the moment is with B&B, but this requires a full 3,600 minimum investment. The HSBC account pays 6.25% also, and this is guaranteed to 2009 I think.

The Post Office ISA may be suitable for those who will hold the account for a year, and then be willing to look for a better deal.

They are also offering a S&S ISA with a min. deposit of £10.

lolly5648

Do you know if you can transfer existing Post Office ISAs into it? (I have been lazy and havent got round to transferring them elsewhere)

mr113

As far as I know transfers in and out are permitted. Leaflets and application forms should be available in branches from tomorrow.

lolly5648

There is nothing on the website about this ISA yet.

Stompa

http://www.postoffice.co.uk/portal/po/content1?catId=82300737&mediaId=82300739

lolly5648

Stompa wrote: »

http://www.postoffice.co.uk/portal/po/content1?catId=82300737&mediaId=82300739

They have obviously updated their site - it wasn't there earlier.

Trying_to_be_good

They accept transfers in, quote from their Key Facts info http://www.postofficeisa.co.uk/pdf/KeyFactsCashISA.pdf:

When will my Account open?
We will open your Account when:
we receive a valid application and a subscription; or,
if you are transferring an ISA to us, a transfer application, a transfer value and a valid transfer form from your existing provider.

oliver_m_2

Trying_to_be_good wrote: »

They accept transfers in, quote from their Key Facts info http://www.postofficeisa.co.uk/pdf/KeyFactsCashISA.pdf:

When will my Account open?
We will open your Account when:
we receive a valid application and a subscription; or,
if you are transferring an ISA to us, a transfer application, a transfer value and a valid transfer form from your existing provider.

My cash ISA with Halifax will mature in October and I'm thinking of transferring it to this Post office ISA account. However on the online post office application form, I couldn't find where to indicate that I would like to transfer my ISA from Halifax.
Any advice would be much appreciated.

RayWolfe

Have you got the correct form? There are often two forms; one for a new subscription and one for a transfer.

oliver_m_2

RayWolfe wrote: »

Have you got the correct form? There are often two forms; one for a new subscription and one for a transfer.

Thanks for your answer. I've phoned them up -- apparently there is no ISA transfer form online. One has to request one on the phone (which I've just done). Hope that information is useful to others.

weaver

Ive just called to request a form and been told because Id already made the full £3600 allowance for this year into my existing ISA, I cant open an account with them as they need an initial amount to open it with i.e £1 - they dont class the transfer as the initial deposit.