Isa with little cash

borderline

Hi,
I have a cash Isa with HSBC for many years.
Well, I only have over £1200 but the interest is next to nothing, I think I only get about 20p a month:rotfl:
so, being so little money, do I bother with transferring it elsewhere, will I get penalized if I closed that account?
I could add another £1000 if the interest was better... but I don't know, shall I bother?

The_Enforcer

In my opinion it is worth seeking out a better rate.

There are numerous options available for you, the best rates summarised and kept up to date on the first post of this thread: https://forums.moneysavingexpert.com/discussion/401374

The likelihood of you needing to withdraw these funds should dictate whether you choose easy access/notice/fixed/regular saver options.

The existing money can only go into an ISA that permits transfers in - by submitting a transfer form to the new ISA provider and letting them execute the transfer for you.

Any new subscriptions (payments) into an ISA during this financial year must be kept together in a single ISA at any one point in time. This need not be the same ISA account as the one you choose to transfer your existing funds into. It's often the case that accounts for 'new money only' offer slightly better rates than their counterparts that permit transfers of existing funds.

Hope this helps.

SavingSteve

Read the advice above, IMHO transfer to Santander's 3.3% ISA, and if you can save more in that account throughout the year.

McKneff

oooh, not Santander, never, never Santander, they are the most incompetent bank in the world.

Halifax do an on line ISA for 3%

Always makes sure that your new provider does the transfer for you.