Fixed rate Isa - Halifax

regularsaver1

FYI

The rate is ending at end of month

it will then be 4.85%

the 4 years will be 5.2%

zag2me

Is anyone else worried about getting tied into a 1 year fixed rate when the bank of England is hinting at interest rate rises?

This is the reason I didnt go for it.

Kazza242

zag2me wrote:

Is anyone else worried about getting tied into a 1 year fixed rate when the bank of England is hinting at interest rate rises?

This is the reason I didnt go for it.

No, I'm not worried. I've recently opened a 1 year fixed rate ISA with Halifax at 5.00% because the ISA Saver Direct was recently reduced to 4.75%. Even if BOE base rate increases by 0.25%, there is no guarantee that Halifax will increase the ISA Saver Direct rate by the full 0.25%. If they do, the rate will be the same as what I'm receiving on the fixed rate.

However, if BOE base rate were to move down, then fixing my ISA will have been a very good move.

Mr_Mumble

Is the 4.85% for 1,2 or 3 years or just on the 1 year?

regularsaver1

think its for the 2 and 3 - i just knew the 4 was 5.2%

MightyMidget

I applied for the Halifax 5% 1 Year fixed ISA at the beginning of April. I was funding it with a transfer from last years ISA from Abbey.

They did advise me that rates were subject to change but did the transfer dated 3 May 06. Problem being that it was at a rate of 3.55%!!!

Does any one know when the rates changed??? I'm going in there today to give some one a real roasting and would like to be sure of my facts.

Zwicky

MightyMidget wrote:

I applied for the Halifax 5% 1 Year fixed ISA at the beginning of April. I was funding it with a transfer from last years ISA from Abbey.

They did advise me that rates were subject to change but did the transfer dated 3 May 06. Problem being that it was at a rate of 3.55%!!!

Does any one know when the rates changed??? I'm going in there today to give some one a real roasting and would like to be sure of my facts.

Halifax has 3 cash ISAs. If the rate is 3.55% then they have given you the variable rate ISA which pays rates in tiers according to how much you put in. 3.55% is for 3000+ but the max rate is only 4.05% and you have to put in 27,000+!!

The ISA Saver Direct pays 4.75% variable but the only one paying 5% is the Fixed Rate ISA Saver. As mentioned above this looks like it is going to be reduced but it's still advertised on their web site at 5%.

The summary of terms for the Fixed Rate ISA says that it can be funded from "previous year's mini cash ISA subscriptions" but it does not specifically say transfers from other providers so maybe this is why they put your funds in another account?

Judging from posts elsewhere you will not be the first person who has been given the wrong account.

All the above information including all rates is available at www.halifax.co.uk

Kazza242

MightyMidget wrote:

I applied for the Halifax 5% 1 Year fixed ISA at the beginning of April. I was funding it with a transfer from last years ISA from Abbey.

They did advise me that rates were subject to change but did the transfer dated 3 May 06. Problem being that it was at a rate of 3.55%!!!

Does any one know when the rates changed??? I'm going in there today to give some one a real roasting and would like to be sure of my facts.

I'm a little bit confused by your post. You transferred to Halifax, your Abbey ISA from last year. The transfer arrived on (or dated the) 3 May 06. When you asked for the transfer, did Halifax not advise you that the money would be transferred into their ISA Saver Direct? That's where the money should have gone. You could then visit a branch or phone to ask for it to be converted into the fixed rate ISA.

According to the Halifax website, the rates have not changed yet. The fixed rate ISA is still showing a rate of 5.00%. I think the change is going to occur from June 1st(?), so you still have a bit of time to fix at 5.00%.

MightyMidget

It seems that Halifax agrees that I should have the 5% Fixed ISA.
The lady I spoke to said she would ensure my account would be changed to the 5% account within 3 days.

richgirl

I prefer to fix as well, have far too many accounts to worry about chasing after the rates, its nice to have a few fixed like the halifax cash ISA, though I did fix it when the rate was 5.8%

Mr_Mumble

Thanks for the early info on the four year regularsaver1! The rates for two and three year are different.

1 Year -- 4.85%
2 Years -- 5.00%
3 Years -- 5.15%
4 Years -- 5.20%