Cash ISAs: The Best Currently Available List

ToastLady

https://forums.moneysavingexpert.com/discussion/comment/81970736#Comment_81970736

Good news for you, yay! I can totally forgive errors like that, it wasn't a problem or an irritation to me. I'm just happy that they are actually considerate to their customers and give a bit of loyalty.

CuparLad

https://forums.moneysavingexpert.com/discussion/comment/81970842#Comment_81970842

Not wishing to put a dampener on anyone's good will towards Vanquis, but this has very little to do with consideration or loyalty, but rather cashflow management.

Vanquis will no doubt have assessed their current funding needs against their savings balances and will have concluded that an unacceptable proportion was sitting in lower rate accounts that Vanquis consider a "flight risk", meaning that money is at risk of being transferred away. This has two impacts on Vanquis:

• They have the administrative costs of transferring an ISA out, with zero benefit.
• They have to attract new money to replace it, at much higher cost (think percentage rate), plus the administrative costs of transferring this new money in.

They will have concluded, therefore, that simply offering a higher rate to existing customers:

• Virtually eliminates the transfer costs (all the costs are limited to an internal transfer)
• The offered rate might potentially be lower that they would need to offer in the open market.

So called "loyalty rates" are designed to minimise costs for the financial institution and keep money where it is. The rest is just marketing, which IMHO you should never believe.

allegro120

https://forums.moneysavingexpert.com/discussion/comment/81969088#Comment_81969088

FD

I'd initiate transfer out on 1st August regardless. They will have to pay the bonus if the condition was met.

I'm trying to work out when is the best time to open it. I've spent all my 2025/26 ISA money on HSBC, so it has to be a transfer from previous years allowances. T&C says,

• Your valid ISA transfer-in request) and supporting evidence must be received by us within the Offer Period. If your transfer-in request is received by us but cannot be completed within the Offer Period, you will only be eligible to receive the Reward if the transferred balance meets the Qualifying Amount without adding New Funds.

This suggests that opening the account on Sunday the 3rd would do the job, but it's a bit risky to do it at weekend. I used to have ISA with FD at the turn of the century, no idea how it works now. Does anyone know what the process is, do you initiate transfer during application process? When I applied for HSBC there was a transfer option, but Cynergy (the only provider I have the required sum available for transfer) wasn't on the list. If this is identical with FD I'll probably have to give it a miss. I was reading some reports on here suggesting that HSBC transfer in can turn into a saga, which I'd rather avoid.

ToastLady

https://forums.moneysavingexpert.com/discussion/comment/81970961#Comment_81970961

Well that's taken the wind out of my sails. 😂 I always try to look on the bright side of things, forever the optimist. You can tell I didn't work in finance.

Emily_Joy

After almost all banks left our town (Natwest, Lloyds, HSBC, Coventry Building society…) a "banking hub" has opened. It says you can have a meeting with a bank representative there and get help with your accounts etc. Has anyone tried to hand in a cash ISA transfer form to HSBC in the banking hub? I am transferring from Gatehouse - and as far as I understand I can fill in the form and return it to a branch.

gt94sss2

https://forums.moneysavingexpert.com/discussion/comment/81971043#Comment_81971043

If you are opening an ISA with First Direct and plan to transfer a ISA to them, you have to open the account and request the transfer by post.

You can only open a FD cash ISA online if you are going to fund it with a subscription from this year's funds

GrubbyGirl_2

https://forums.moneysavingexpert.com/discussion/comment/81970961#Comment_81970961

I'm sure you're right but look at banks like Shawbrook who are happy to keep their customers money in 0.1% accounts. I'd much rather be telling others about a good thing so that they can take advantage than have to be moaning about a bad thing

CuparLad

https://forums.moneysavingexpert.com/discussion/comment/81971431#Comment_81971431

For funds at very low rates, it's a different situation but the same analysis will be carried out.

Funds languishing at such low rates are essentially free money and the "owner" of those funds will either not care or have forgotten about them. They may even no longer be with us. Either way, that money is low flight risk, and even if it does later move, the saving in interest payments will far outweigh any costs associated with administering and transferring in new money to replace it, so it's a win-win for the financial institution.

I always encourage people to think about savings from the financial institution's perspective. They're borrowing your money when you save with them, so it's a loan. They're always trying to minimise the costs of that loan. When you think of it like that, some of the "strange" behaviour of financial institutions starts to make sense and helps you optimise the return on your money.

nomorekids

so looking at the incentives seeing as I have a few maturing and this years allowance to top up if necessary

have hsbc transfer going through in theory (they are sooooo slow, basically at a standstill) for £150 incentive so I can't get first directs £100 offer

there is Santander for the £50 voucher which I think I'll do with new funds via a transfer

I have no Barclays account and sadly missed out on the refer a friend £50 offer whilst on holiday but now I'm reunited with my laptop, any others to consider? grateful for any ideas please?

andyhicks88

(i got my referral bonus from Monument finally)