Coventry 5 yr fixed rate ISA 5%

MarkyMarkD

The question shouldn't say "have you opened another ISA" it should say "have you subscribed to another ISA". Transferring old year funds is not subscribing so the correct answer to the correct question is "NO".

Regarding earlier comments, providers cannot prevent a transfer out and nor can they insist on a notice period longer than the statutory 5 day maximum - there must always be a "loss of interest" alternative (or in this case, "loss of interest" is the only option).

StevieJ

The_Archetype wrote: »

You have to understand some institutions will not be perfect with the wording, those T&Cs are of course written by humans who are flawed like all of us. If its not new money depositted in that financial year, then you are free to deposit into a new ISA.

I'm also interested in knowing the rules about transfering out - would you have to pay the interest penalty akin to withdrawals? I'm assuming yes otherwise its too easy to game the system - 5% for one year, two year, however long you want.

If you withdraw/transfer you have to take the whole balance and pay the 120 day penalty, so if you withdrew after 3 weeks you would receive less than you put in.

StevieJ

The_Archetype wrote: »

That's not what I asked.

Sorry, I was trying to interpret what you asked, I obviously didn't understand it. Perhaps you could elaborate?

Thrugelmir

The_Archetype wrote: »

I'm also interested in knowing the rules about transfering out - would you have to pay the interest penalty akin to withdrawals? I'm assuming yes otherwise its too easy to game the system - 5% for one year, two year, however long you want.

A transfer out for intents and purposes is a withdrawl.

Funkyfreddy

The_Archetype wrote: »

That's not what I asked.

Mmm..what were you asking then ?

The_Archetype wrote: »

I'm also interested in knowing the rules about transfering out - would you have to pay the interest penalty akin to withdrawals?

Yes - but others have said that and it doesn't appear to be the answer to the question you are asking ?

The_Archetype wrote: »

I'm assuming yes otherwise its too easy to game the system - 5% for one year, two year, however long you want.

"game the system" ?

FF

StevieJ

The_Archetype wrote: »

That's not what I asked.

Check my answer again, cheers Thrug

StevieJ

Well, in the rare words of that intrepid entrepreneur, I'm in opened yesterday. Thanks for the heads up Old Slaphead.

Old_Slaphead

StevieJ wrote: »

Well, in the rare words of that intrepid entrepreneur, I'm in opened yesterday. Thanks for the heads up Old Slaphead.

Cheers Stevie - I've gone for 2x (seems a deal with the get out). All we need is Art Strat to takeoff now.

StevieJ

Old_Slaphead wrote: »

Not seen any mention of this so far.

5 year cash ISA account at 5% with a 120 day penalty for instant access (giving notice is not an option).

Effectively that's a return of 3.33% for 1yr, 4.16% for 2yr, 4.44% for 3yr, 4.58% for 4yr or 5% for 5 yrs.

Seems a decent offer - or am I missing something ?

Too good to last.

If you're looking for a tax-free savings account, to make the most of your money, and you want an interest rate that's guaranteed, then look no further than our Fixed Rate ISA (8) fixed until 31.05.2016.

• Invest £5,340 your full 2011/2012 cash ISA allowance. Transfers of previous years' ISA funds not permitted
• Earn tax-free interest on your savings
• Enjoy a rate of 4.35% tax-free p.a./AER* paid annually
• You can't contribute to more than one cash ISA in the same tax year, but you can contribute to a new ISA each tax year and build up your tax-free savings in that way
• Matures on 31 May 2016

http://www.coventrybuildingsociety.co.uk/savings-and-investments/cash-isas/Five-Year-Fixed-Rate-ISA/Five-Year-Fixed-Rate-ISA.aspx