The Best Mini Cash ISA Article Discussion Area

Colin_In_Brum

I just pick the best interest rate at the start of the new tax year. I got married a couple of years ago and my ISA savings were for that. So most accounts got cleared out leaving just the £100 you need to qualify. So the interest I lose is minimal compared with the possible gains.

tempuscat

My wife and I each took out an ISA Capital Saver) with Bradford & Bingley three years ago and both mature at the beginning of next month (i.e., first week of May).

There's a £9,912 maturity value on each holding. B&B has said if we wish to continue saving, our accounts can run for another 3 years. But. . . we don't want another 3-year fixed term (even though Bradford & Bingley says the Capital Saver will continue to be at least 0.25% higher than its ISA Easy Saver).

What we'd like to be able to do is identify an on-line mini-cash ISA offering as near to 5% as possible which won't tie us down for more than 12 months -- and which will allow us, after opening, to transfer in the matured funds.

We're obviously naive because we thought this would be a straightforward matter. . . but 'Best buy' recommendations all seem to centre on maximum holdings of £3,000 though -- with no transfers in.

We're now anxious to use our 2006-2007 allowance on a new ISA as quickly as possible and maximise our matured funds. . . but despite hours of hunting around, simply cannot find an account that can (a) be managed online (b) allows the transfer in of an ISA maturity balance (c) offers around 5.0% interest and (d) doesn't seek to tie us down for more than 12 months.

If anyone has any ideas, that'd be much appreciated!

* It really would help if ISA providers stopped burying 'unattractive' elements of their products. Hours of time could be saved if the provider (or even search engine!) stated the situation re tranfers in / transfers out as prominently as is stated the investment term and interest rate. There must be thousands of savers with matured funds who only belatedly discover in the small print that the provider won't allow those funds to be transferred in, and that £3,000 is the maximum for 2006-2007.

isasmurf

As it happens, the 'top buy' in your circumstances is B&B's e-ISA. Pays 5% interest and allows transfers in.

(Search: ISA transfers for £9,912, instant access accounts).

tempuscat

Many many thanks isasmurf!

We've now decided to depart for a career in pantomime, where we can play (convincingly) the role of a pair of idiots who're told by the audience IT'S BEHIND YA! and engage in gormless banter (oh-no-it-isn't! Oh-yes-it-is!) whilst hunting for an elusive prize that's all too glaringly obvious to everyone else.

Of course, if we'd actually checked B&B first instead of simply reading their letter and assuming that was the full story, we wouldn't have spent so much time staring at different trees whilst standing in the middle of the wood.

Heigh-ho. We're ringing our B&B branch now.

As for you, well: you SHALL go to the ball! :A

Sincere thanks again, isasmurf!

Halebop_2

Thats saved me asking the question, I want to transfer my Smile ISA seeing as its dropped to 4.5% I'll definitely look at Bradford and Bingley.
I was looking at investing my 06/07 allowance in Ns&I but I'll be far better to transfer and then put my allowance into that

Thanks :T

olip74

You must have missed this thread posted on 23rd March and detailing the cut.

http://forums.moneysavingexpert.com...d.html?t=171243

jem16 you're right I missed it. Oh well it's small change I guess, I'm new to this game, will be more savvy next year!

The_Only_Homer_Simpson_UK

Hi
Can anyone point me in the right direction for who is offering the best rates based on the following :
Invest £3000 now and also be able to transfer in previous years savings ( Approx £18,000) without penalties next year to perhaps transfer on again?
I have tried the top ones that Martin recommends and these don't accept transfers in ?

Kazza242

The_Only_Homer_Simpson_UK wrote:

Hi
Can anyone point me in the right direction for who is offering the best rates based on the following :
Invest £3000 now and also be able to transfer in previous years savings ( Approx £18,000) without penalties next year to perhaps transfer on again?
I have tried the top ones that Martin recommends and these don't accept transfers in ?

I would say that the best available (according to the info you've provided) are:

- Bradford & Bingley's variable rate E-ISA paying 5.00% http://www.bradford-bingley.co.uk/savingsandinvestments/esavingsISA.asp

- Halifax's ISA Saver Direct paying 4.75%
http://www.halifax.co.uk/savings/cashisa.shtml

- Or if you can tie your money up for 1 year, you could go for the Halifax 1 year fixed rate ISA, currently paying 5.00%. After the 1 year term is up, you can transfer it to another provider without penalty.

You'll have to hurry though, as the 1 year fixed rate option will be reduced to 4.85% from next month. If you do decide to go for the 5% 1 year fixed rate, Halifax will transfer your ISA savings into their ISA Saver Direct. Customers can then phone up or visit a branch to have it converted into the fixed ISA, although the latter is the quickest way to get it done.

All three of the above accept transfers. Halifax will backdate your interest, so that you don't lose any interest during the transfer.

isasmurf

According to Moneyfacts, the best instant access ISAs accepting transfers for £18,000 + £3,000 deposit are

Stafford Railway BS, Woolwich, Barclays, Bradford & Bingley, HSBC (Existing customers only), Yorkshire and Clydesdale all offering 5% AER
Kent Reliance offering 4.96% AER
Teachers and National Counties offering 4.85% AER
and then a raft of others offering 4.75%

I don't know if any of these have a penalty for transfering out.

Floyd_2

I'm a newbie to the forum but I'm very confused about this ISA business...
I already have a Mini cash ISA with one provider am I right in thinking that I can invest another £3000.00 with another provider as long as it's not in the same tax year?