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Santander Direct ISA: Interest rate for £8998?

Does anyone know if I transfer £8998 of old ISA money to Santander Direct ISA, will I be eligible for the 2.75% interest rate rather than 2% rate? (Assuming that the interest earned being calculated on a daily basis will push it over 9k mark in few days/weeks even though it will only be paid next year!) Am I making any sense?

Comments

  • LucyTheDwarf
    LucyTheDwarf Posts: 880 Forumite
    edited 21 April 2010 at 9:57PM
    Wouldn't have thought so. It might be calculated daily, but it's only applied annually. A bit of a Sod's Law situation you're in :P

    Have you opened a new money ISA for this year yet? You could pay some money into a new ISA, then transfer it in full to Santander to get you over the 9K threshold.

    EDIT: You can pay into this ISA, right? Does the 8998 comprise of previous years + 5100 for this year?
    Target Cash Net Worth: £25K by January 2012
    Progress
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  • No. Its actually 8998 prev years into Direct ISA with no new money and 5100 at 3.2% in Flex ISA Santander. (Ofcourse if the interest rate goes up then Flex ISA rate will too>>Hence thought it might work better!!??)
  • DarkConvict
    DarkConvict Posts: 6,347 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    sods law indeed you should have kept back just £3 from this years allowence.
    Although no trees were harmed during the creation of this post, a large number of electrons were greatly inconvenienced.

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  • Mikeyorks
    Mikeyorks Posts: 10,377 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    No. Its actually 8998 prev years into Direct ISA with no new money

    When you do the transfer there will be accrued interest with it? Have you taken that into account?

    sods law indeed you should have kept back just £3 from this years allowence.

    For what purpose? You can't split the allowance between separate cash ISAs ..... not even £3.
    If you want to test the depth of the water .........don't use both feet !
  • emeraldbugle
    emeraldbugle Posts: 1,063 Forumite
    Part of the Furniture 500 Posts Combo Breaker
    Mikeyorks wrote: »
    When you do the transfer there will be accrued interest with it? Have you taken that into account?

    If the £8998 already includes the interest to date, what about the Nationwide one at 2.75%?

    http://www.nationwide.co.uk/savings/cash_isa/eisa/default.htm?source=nationwide&campaign=homepage&execution=eisa_slot1_info_19042010
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