cash ISA or Regular saver

psychic_teabag

If you're going to open an ISA in November, there might be a case for opening it now with a minimum deposit, just to reserve the rate. Because this is "ISA season" the rates are relatively good at the moment. There might not be such good rates around later in the year. If rates, do go up, you could transfer the ISA you opened.

The one downside is that if rates do go up, you wouldn't be able to open a no-transfers ISA, which tend to have the best rates.

You may have to fill in a form (R85 ?) to get a non-ISA savings account to pay you the interest without tax deducted.

jahalamo

psychic_teabag wrote: »

If you're going to open an ISA in November, there might be a case for opening it now with a minimum deposit, just to reserve the rate. Because this is "ISA season" the rates are relatively good at the moment. There might not be such good rates around later in the year. If rates, do go up, you could transfer the ISA you opened.

The one downside is that if rates do go up, you wouldn't be able to open a no-transfers ISA, which tend to have the best rates.

You may have to fill in a form (R85 ?) to get a non-ISA savings account to pay you the interest without tax deducted.

I have just been searching about that! I think I will open and ISA now then and just deposit a small amount so that in November it is relatively simple for me. I can't imagine rates will increase too dramatically for me to be kicking myself for opening a non transferrable one. Also if I have extra cash after my regular savings I can add it to my ISA.

Then in April 2013 put the ISA and the regular savings into a new ISA and leave it there, start a new regular savings for that year and so on?

Have to wait till tomorrow to ring first direct and see if this is all possible for me (someone without much income!) also the tax and R85 issue.

Thanks so much for your help! It is much appreciated

Cyrus

jahalamo wrote: »

I have rang them though and been looking at their 1st account, it charges £10 a month. Unless you deposit £1500 a month, which i won't be able to do. This £10 outweighs the benefit of an extra 2%.
Am i right in this or have i missed something?

Unless I am eligible for a credit card, or do you have to actively use the credit card? Saying this I may not even be eligible for the account as i have no real income. Will ring them tomorrow when the correct department is open.

Nah man, although it does say that the 1st account charges you £10 a month, it also says that if you have a secondary qualifying product the £10 a month fee is dropped. The one I used was the Every day E-Saver, minimum deposit of £1.

So I phoned up, opened the 1st account, then opened the Every day E-Saver and then opened the Reg Saver avoiding the £10 a month fee. The customer service is really good and the wife I was on the phone to was awesome, she sorted everything out for me. You should note though that the date you open the Reg Saver is the date that you'll be required to make the monthly deposits.

jahalamo

Cyrus wrote: »

Nah man, although it does say that the 1st account charges you £10 a month, it also says that if you have a secondary qualifying product the £10 a month fee is dropped. The one I used was the Every day E-Saver, minimum deposit of £1.

So I phoned up, opened the 1st account, then opened the Every day E-Saver and then opened the Reg Saver avoiding the £10 a month fee. The customer service is really good and the wife I was on the phone to was awesome, she sorted everything out for me. You should note though that the date you open the Reg Saver is the date that you'll be required to make the monthly deposits.

Arrr thats awesome! Thought i saw that in the 'excludes' bit but i was wrong! Yeh the guy on the phone was really helpful already.
Thanks