Cash ISAs: The Best Currently Available List

Kazza242

MarkyMarkD wrote: »

I'd strongly question whether the Chorley BS product should be listed.

Given it has a 0.25% bonus which you only get if you keep the account for a year, it's pretty obvious that the rate is going to go down the tubes in a few months' time and people will be hanging on just for the 0.25% bonus - or wishing they'd never bothered. Without the 0.25%, it's barely competitive. If you have to list it, I think you should list it without the 0.25% bonus - i.e. at the bottom of the list - with a note that IN ADDITION to the rate shown, you get 0.25% on top if you keep the account for a year.

Just my two penn'orth!

Thanks for all the updates.

The Chorley ISA has been around for over a year now. It was also featured in my December 2007 update. To be fair to Chorley, they have kept the rate above BOE base rate for some time now. Of course, with a variable rate, there are no guarantees that the product will always remain competitive, but as it's been competitive for over a year, I've decided to add it. If more ISAs paying 3.25% (or above) become available then I will probably remove it. There's just not a lot of choice at the moment, what with the way rates are going.

You've made a good suggestion regarding the listing it without the bonus. I'll consider this during my next update.

R5Rich

Without starting another thread I have a few questions.

Currently got my ISA with natwest but it has appalling interest rates which seem to be the norm now.

Having looked at the start of this thread I see you can do a 1yr fixed rate, now if I dont need the money for a year this would surely be the best option? I see Natwest are doing some e-isa but thats not fixed rate is it?

Around 3.5% is the best im likely to get isn't it without going for that 4yr fixed term?

Come next time I can deposit money can I just swap ISA's easily? I would obviously want to transfer money from my natwest one into a new one with a higher rate.

Lokolo

Thats all correct.

When you transfer ISAs its not like the normal way of transferring money. You have to fill in a form and hand it to the bank who then retrieve the money etc.etc. and can take a month (or even longer, or shorter if the banks are good) for it all to happen.

Even if you transfer or have a fixed ISA you can still open another ISA each tax year and deposit your ISA allowance into that. Most fixed rates won't let you add additional deposits so you could h ave to open another ISA elsewhere.

R5Rich

Northern Rock Fixed Rate Cash ISA (issue 94) - 3.50%

That looks like one of the better ones. All I have to do is apply online and they can take money from my current ISA and move it to theres at the start of the next financial year?

Baldur

R5Rich wrote: »

Northern Rock Fixed Rate Cash ISA (issue 94) - 3.50%

That looks like one of the better ones. All I have to do is apply online and they can take money from my current ISA and move it to theres at the start of the next financial year?

They should move it within 30 days, or on a date that you specify - the tax year is irrelevant as far as transfers are concerned.

From 6th April, you will be able to open another Cash ISA with whichever ISA provider is offering the best rate at that time.

haribol_2

Birmingham & Midshires also have 3.50% on there 1 year fixed rate Cash ISA.

Haribol

R5Rich

As I can only deposit £3600 a year into an account I can move my last 2years with natwest over?

haribol_2

Seeking some advice please.

I have a 2 year and a 1 year fixed rate Cash ISA both ending this year. They are both with different organisations. Question is: What would happen if I wait until 6th April 2009 before opening another Cash ISA somewhere? or should I sign up to one now and have them transfered in when the new year starts?

Cheers
haribol

fullstop

R5Rich wrote: »

As I can only deposit £3600 a year into an account I can move my last 2years with natwest over?

Yes, You can move your previous ISA into a new account with a Bank or BS who accept transfers, and then start a brand new one in April. You must get a transfer form first to start the ball rolling.

MarkyMarkD

Kazza242 wrote: »

The Chorley ISA has been around for over a year now. It was also featured in my December 2007 update. To be fair to Chorley, they have kept the rate above BOE base rate for some time now. Of course, with a variable rate, there are no guarantees that the product will always remain competitive, but as it's been competitive for over a year, I've decided to add it. If more ISAs paying 3.25% (or above) become available then I will probably remove it. There's just not a lot of choice at the moment, what with the way rates are going.

You've made a good suggestion regarding the listing it without the bonus. I'll consider this during my next update.

I hadn't looked at the Chorley website before I previously posted, but the way the bonus is described there makes it sound WAY worse than I suggested.

It says that the bonus is paid each 5th April, based on the PREVIOUS year's 5th April balance, and conditional on no withdrawals in between.

That means (to my reading) that if you fund it with the full £27k by transferring it in on 6th April, you'll get 3% - no bonus - for the WHOLE first year as the "previous year" 5th April balance will be £Nil.

Am I mis-reading it? (i.e. is their wording completely wrong?)

Furthermore, even if you put in £27k by transferring in during February, you'll not get the bonus for the 6 weeks up to 05/04/09, and when you top up on 6th April, you'll not get the bonus on the £3,600 top-up for the whole of the 2009/10 tax year.

It's all very complicated and not a very good deal, IMHO, unless you intend to transfer and NOT top-up, and you do the transfer so it goes through on exactly 5th April - but not a day later - which is virtually impossible to guarantee.

By the way "above BBR" is scarcely much of an achievement.