Nationwide e-ISA bonus rate

creativ

I am planning to transfer my Nationwide e-Isa (which I opened on 31 Jan 2011) to a new e-Isa at Nationwide. The new account pays 3.10% until 30 September 2013 when it drops to 1.00% variable. Interest is calculated daily and paid annually on 31 August.

I have a couple of questions:

1) If I opened the account now am I allowed under the ISA rules to transfer to another ISA as soon as the E-Isa rate drops (after 30 Sept 2013)?

2) If so, would I get 3.10% paid on my savings or does the account have to be open for exactly a whole year?

Any advice, much appreciated.

Simon

psychic_teabag

1) Yes, you can transfer an instnat-access cash ISA any time (and as many times as) you want.

My inclination would be to transfer after 12 months rather than waiting the full 18 months : the best rates tend to available around March/April, so you don't really want to be looking for somewhere to transfer to in August.

2) you'd have to read the T&C yourself, but from a quick look there don't seem to be any catches. Interest is paid annually in August, but if you transfer out, you should get any interest owed paid immediately.

creativ

That's great. Many thanks for your helpful reply.

martinman3

Please note that the ISA that you plan to transfer to is the Online ISA at 3.1% not the e-ISA which currently pays 1.75%.

creativ

Thanks for pointing that out. They are very similar sounding names. That probably has caught a few people out.

thor

creativ wrote: »

Thanks for pointing that out. They are very similar sounding names. That probably has caught a few people out.

Which is exactly what Nationwide are hoping.