ISA's

datherton

Is it not about time the banks were brought to task over cash isa's? How come I can get 4.3 % gross in many places, including NS&1, but only approx 3.3% on an ISA which allows balance transfers. Are the banks taking u for mugs - as usual!!

Aegis

datherton wrote: »

Is it not about time the banks were brought to task over cash isa's? How come I can get 4.3 % gross in many places, including NS&1, but only approx 3.3% on an ISA which allows balance transfers. Are the banks taking u for mugs - as usual!!

How exactly do you propose someone takes them to task? Under what rule/law? The ISA rates are set by the banks to try to win business. They're not obligated to give you a good rate on your ISA just because there are also good rates on non-ISA savings accounts.

Of course it's all rather a moot point because Nationwide currently have a 4.5% 5-year ISA on offer, which is higher than the gross rate you were asking for.

Even if you didn't have that, if you wanted you could convert the cash ISA to a stocks and shares ISA, retain your tax free holdings (albeit in a different form), and could invest for longer term growth. As always, the rule is that if you don't like what you can get with one provider or product type, go somewhere else and get better.