Any educated guesses for "New" April ISA's

fileydave

The banks seem to casting around for the last dregs of this tax years ISA money?

Does anyone know what is likely to happen in the new tax year?

Will there be a flurry of new ISA accounts appear in an attempt to rake in as much money as quickly as possible.

I ask as have several years of cash ISA's currently earning 1.1% with IF which I was going to transfer to a Nat Weast e-ISA but wonder if I am better waiting for the new tax year.

Baldur

fileydave wrote: »

The banks seem to casting around for the last dregs of this tax years ISA money?

Does anyone know what is likely to happen in the new tax year?

Will there be a flurry of new ISA accounts appear in an attempt to rake in as much money as quickly as possible.

I ask as have several years of cash ISA's currently earning 1.1% with IF which I was going to transfer to a Nat Weast e-ISA but wonder if I am better waiting for the new tax year.

Historically, from my own observations, the best Cash ISAs tend to be offered before the start of the new tax year, to attract those ISA allowances which have not already been allocated by savers. They tend to last for a few weeks into the new tax year and are then often withdrawn and replaced by lower rate products (especially FRISAs).

What happens this year remains to be seen.

Primrose

I agree. There's usually a rush of competitive offers to catch the late appliers for ISAs before the tax year ends and then everything goes fairly quiet and offers get withdrawn. My guess is that there won't be many good offers around in April and May because there won't be too much spare cash around. People have a whole year to think about where they place their next tax year's allowance - cash or equities so there's no pressure, and I suspect many canny people will have put any spare savings into fixed rate accounts before interest rates dived to virtually zero. I also think it's looking increasingly unlikely as a result of Mervyn King's most recent statement that there will be any further tax concessions in the April 22nd Budget. Pensioners might get a slightly higher ISA allowance or something like that but I suspect what may happen is that the Treasury will batton down the hatches as far as tax is concerned and one end result will be that this won't encourage the banks to be any more generous with savings deals.

zedyy

I'm shocked llyods have not given a good rate on their ISA for 09/10.

It's quite disappointing as they are a very conservative bank.

Baldur

zedyy wrote: »

It's quite disappointing as they are a very conservative bank.

That's why they don't usually give good rates - their FRISA was the only one worth looking at last year (as long as you had substantial ISA funds from previous tax years)

sheslookinhot

Would some good ISA rates not be used to tempt savings from easy access accounts ?

realaledrinker

As far as I can tell, the Natwest e-ISA has still to catch up on the last 2 BoE rate reductions (last changed 2nd Feb). I was thinking about transferring out of egg into there but no doubt the rate will be slashed come 6th April....

evenasus

fileydave wrote: »

I ask as have several years of cash ISA's currently earning 1.1% with IF which I was going to transfer to a Nat Weast e-ISA but wonder if I am better waiting for the new tax year.

I know it's too late now but...It's a pity you didn't transfer your 'several years' worth of ISA to a fixed rate last year.
You can still get a better rate than 1.1% if you go for a fixed rate now.

I'd never been keen of fixed rates before the financial trouble started. But that pushed me into fixing most of our savings in various institutions very quickly.
My husband and I had a Members ISA bonds with Nationwide, which we'd had since they were first introduced. That and a matured TESSA.
When rates started falling I transferred them to a fixed rate ISA @ 5.75%

If we'd just left them as they were, we'd be getting a rate of 0.95%.