Heads Up ! Should A&L ISA holders be moving quick ?

Rickycowslip

Maybe I'm cutting it a bit fine, but I'm sure the best a/c last year was A&L's ISA with a bonus rate, which means everyone who piled in needs to be piling out in the next two weeks before it drops to 4.5% ? A&L are not too good at advising you when a bonus is ending... A few questions if anyone knows:

- I assume we can't just 'hop' into the issue 2 account and get the 5.2% including 0.7% bonus ?

- didn't A&L threaten to charge people £25 for switching out, then withdraw the threat ?

- Best online alternative I can see is around 5.0% - is it too late to transfer ?

- if expectations are that rates will fall long term, is possibly Portman's 2 yr fixed at 4.75% the best offer ?

thanks...

buses7675

Hi All,

You can open both an Issue 1 and Issue 2 A&L ISA (I have), so long as you don't try to fund the Issue 2 before the 5th April (start of tax year anyway), supposing you have paid the full £3 annual max into your Issue 1. I haven't yet transfered my balance from the Issue 1 to the Issue 2, but is states in the t&cs how to transfer from 'Another A&L ISA', so I'd guess that is fine to do!

Cheers

Steve

grumbler

Rickycowslip wrote:

- I assume we can't just 'hop' into the issue 2 account and get the 5.2% including 0.7% bonus ?

Yes.

- didn't A&L threaten to charge people £25 for switching out, then withdraw the threat ?

No fees now. See ISA Transfer Lloyds TSB to A+L thread.

- Best online alternative I can see is around 5.0% - is it too late to transfer ?

You can transfer anytime. Only deposits are restricted.

- if expectations are that rates will fall long term, is possibly Portman's 2 yr fixed at 4.75% the best offer ?

Halifax offer 5% fixed for 1-4 years. It is not absolutely clear about compounding interest though: see this post.