The Nationwide 3.1% Online Cash-ISA Has Landed

MattLFC

http://www.nationwide.co.uk/savings/cash_isa/onlineisa/default.htm?intcmp=Intcmp_1101

3.10% AER, allows transfers-in, unlimited penalty-free withdrawals. Minimum starting balance £1000 and need a "card" account with Nationwide (though from the looks of things, it does not need to be a FlexAccount or even possibly a current account??).

Who else is going to go for it? I think with it being able to allow transfers-in, it could well come in handy for all those who took out that naughty Santander 3.50% ISA last year, that will drop to a miserly 0.50% in a few weeks - as well as other people who have ISA's that are going to lose their headline rate over the next month. I've not seen anything over 3% for a long-while that has allowed transfers-in and unlimited penalty-free withdrawals...

My own situation:

I'm going to transfer my Barclays Golden ISA from last year with a rate @ 3.2% which is maxxed, but it will drop to 2.2% iirc on March 31st. So almost an extra percent on that for the next year, whilst retaining instant-access (always nice to have 10k or so readily accessible).

As I'm a FlexAccount holder with Nationwide (only use it as a car-card however, just keep the card loaded with £50 and in my car in case I forget my wallet at a fuel station etc) there is no hassle for me.

As I opened the Barclays Golden ISA in the 2010-2011 tax year (on April 5th funnily enough), I'm in the fortunate position of being able to open an ISA each side of the new tax-year. I can then see what's on the market for the new tax-year, safe in the knowledge that my current subscription is going to get a half-decent return for the next tax year (and a half lol). And if there is no better than this, I'll just throw next years allowance over on the 6th April from my esaver (which is at 3.1% so I will earn an extra 20% overnight in interest lol).

I'll miss the monthly interest, tis nice to see it totting up, but it all works out basically the same nevertheless.

Cheers to Martin for alerting us to this ISA a few days ago!!

:T

missile

I feel the new RBS fixed rate is better for ISA transfers http://www.rbs.co.uk/personal/savings/g2/isas/fixed-rate-isas.ashx

<LI sab="138">NEW preferential interest rates available in addition to our standard interest rates if you transfer your cash ISA from another provider (excluding RBS or NatWest) into one of our 1 year (3.35% AER), 2 year (3.90% AER) or 3 year (4.20% AER) Fixed Rate ISAs <LI sab="138">

MattLFC

missile wrote: »

I feel the new RBS fixed rate is better for ISA transfers http://www.rbs.co.uk/personal/savings/g2/isas/fixed-rate-isas.ashx

That's as maybe, but it's not a cash-ISA, so its useful only if you want to:

a. lock your money away for three years
and
b. don't want penalty-free withdrawals

There are many fixed-term ISA's that offer better rates; but this is an instant access, penalty-free ISA (there is a £1000 rule, but that does not retrospectively change your interest already accrued).

missile

That's as maybe, but it's not a cash-ISA, yes it is so its useful only if you want to:

a. lock your money away for one, two or three years
and
b. don't want penalty-free withdrawals I am happy to accept those conditions.
There are many fixed-term ISA's that offer better rates; but this is an instant access, penalty-free ISA I don't want instant access to my ISAs, nor I would suggest do many of those considering transfer of their cash ISAs

MattLFC

Firstly, why are you trying to troll the thread?

And secondly, yes they are cash-ISA's, my mistake.

And Jolly for you, wanting to lock all your money way for years on end; some of use realise that instant-access to 10k or so, can come in handy from time to time. Personally, I like 10 - 15k instantly available to me at any one time; I have various investments with AXA Wealth/Architas and L&G, and continue to pay into both on a monthly basis, taking advantage of my S&S ISA allowance (after the 5340/5640 cash-ISA allowance) each year. But nothing beats some cold, hard cash, that should I see something significant like say, a car, that I want to purchase, I can do so, and lose no interest on the savings that may have been accruing for the last 9 months....

Some folk have brains, and are intelligent enough to realise that locking all your money away long-term, is a pretty stupid idea - don't put all your eggs into one basket. But then most folk don't sit on the internet with the sole intention of trolling, and trying to show the world how they do things one way, and everyone else should follow. Fixed-term ISA's have nothing to do with this thread, so if you really must inform people how wonderful they are, do us all a favour, and grab your own thread.

Now go and grab yourself a penguin bar or something, because very well done, another thread trolled. :T

rb10

A very large number of people look for instant access ISAs - look at the popularity of Santander's 3.5% Flexible ISA last year, Halifax's ISA Direct Rewards over the past few years, and Barclays' ISA.

I expect this'll be a popular account - it'll be interesting to see how Halifax (their main competitor for transfer-in ISAs) reacts.

missile

I am not a troll, I refer you to my post count :A
If you can't accept a.n.others may not agree with your opinion please do not resort to petty name calling.

roddydogs

Hope its not closed quickly, this is brill with instant access. Im tied till 29.03

MattLFC

roddydogs wrote: »

Hope its not closed quickly, this is brill with instant access. Im tied till 29.03

I assume it will be a limited issue, though it does not state as such from a quick overview of the website. Have not read through the full terms and conditions as yet however.

Maybe a call to Nationwide could help clarify this?

roddydogs

Just pointing out if youve used you ISA allowance this tax year, you cant transfer till 6th April as you have to have a minimum of £1000 to open the A/C.

AirlieBird

MattLFC wrote: »

I assume it will be a limited issue,

Nationwide have been offering 3.1% on internet ISAs for over a year so why do you assume it would be a limited issue?

missile wrote: »

I feel the new RBS fixed rate is better for ISA transfers

No, not when you include the fact that you earn 0.5% for the next 6 weeks, drastically reducing the interest rate below the headline rate.

roddydogs wrote: »

Just pointing out if youve used you ISA allowance this tax year, you cant transfer till 6th April as you have to have a minimum of £1000 to open the A/C.

Not correct. The transfer satisfies the minimum balance requirement.