Interest Rates

[Deleted User]

I currently have most of my savings in an instant access account which is earning a much better rate (after tax) than my Barclays ISA. Im wondering if it would be better to transfer my ISA savings into this account aswell so i can get a bit more interest.

My question is this, many wise folk reckon the BoE will be increasing interest rates in the comming year/s, would it be naive to believe the banks would therefore pass the increased rate onto savers or are they always destined to be low during a period of depression?

Ill be looking to use my savings as a deposit for a property once the market hits the bottom, so i dont need to touch them for a while yet.

Stompa

Supercharge_Me wrote: »

I currently have most of my savings in an instant access account which is earning a much better rate (after tax) than my Barclays ISA. Im wondering if it would be better to transfer my ISA savings into this account aswell so i can get a bit more interest.

What are the rates you're getting? Had you considered transferring to an ISA paying a better rate?

naijapower

if i were you, i would consider an ISA with a better rate

[Deleted User]

Barclays pay 0.26%, down 6% from when i opened it last March. I thought you could only open one ISA every year though? I have about £6800 in this ISA, can i transfer it all?

Should i wait till next month when the banks will start advertising for the new tax year with better rates?

Aegis

You can transfer your ISA whenever you like, it doesn't count as opening an account. You must also remember that even though you might get a better return in a standard account now, the tax benefits are long term and will still be there when interest rates rise again. At that point you might well be kicking yourself if you have transferred out of your tax-free account.