Cash ISAs: The Best Currently Available List

lumines

They replied with this message.

Thank you for your email.

As from 13th June, our Isa rate was increased to 2.75% aer/gross and our Isaver to 2.85% aer/gross.

Regards

Lindsay
Intelligent Finance

Kazza242

The first post of this thread has been updated.

Leeds Building Society have increased the rates it pays on its fixed rate ISA range. The most notable is their 3 year fixed rate ISA now paying 3.75% up from 3.25%. The 4 year fixed rate ISA now pays 4.05%. They have also launched a new two year fixed rate ISA paying 3.15%. Their one year fixed rate ISA has been removed from the list because it is no longer competitive.

The Natwest e-ISA (paying 2.50% for balances of £10k+) has added to the list again, replacing Marks & Spencer's Advantage ISA (paying 2.42% AER).

Saffron Building Society's 2 year fixed rate ISA has been removed from the list because it has been withdrawn.

Next update midweek.

Nomad25

Have been reading through and think I need some clarification from you wise ones please.

If I subscribe to a 2 year fixed ISA now with full current amount of 3600, what happens when this new [50+ years]arrangement comes into effect in the Autumn?

Will I be able to introduce additional funds [i.e. top up] to the initial sum at same interest rate? With the same maturity date?

I don't understand at all how this is going to work. Can someone explain. Thanks.

brewerdave

Nomad, the problem is that NOBODY knows how this is going to work - you'll just have to take a chance that they will allow top ups.Thats what I've done

thor

lumines wrote: »

They replied with this message.

Thank you for your email.

As from 13th June, our Isa rate was increased to 2.75% aer/gross and our Isaver to 2.85% aer/gross.

Regards

Lindsay
Intelligent Finance

So has your rate gone up from 0.6% to 2.75%? Wow what a leap! You don't see that happen much these days(although sadly the same cannot be said for drops of the same magnitude). It is just a pity it started from such a low base of 0.6%. Oh well I suppose you can't have it all:rolleyes:

Milarky

Nomad25 wrote: »

If I subscribe to a 2 year fixed ISA now with full current amount of 3600, what happens when this new [50+ years]arrangement comes into effect in the Autumn?

The fixed rate runs from the date of investment and is subject to withdrawal - i.e. it is a specific, stand-alone and single deposit product. From the ISA rules standpoint you would be allowed to invest a further £1500 with the same ISA provider alone - which implies that the ISA provider must 'offer' you a further account for this purpose. However they would be under no obligation to offer you the same account (or one with equivalently good terms) since you can definitely open more than a single ISA account with the same provider - as witnessed by Nationwide's ISAs and how they are marketed (i.e. you have always been able to split your annual allowance each year between Instant Access/Members Bond/Fixed Rate Bond accounts - but always subject to the additional resitrictions each account might have)

My tacit assumption therefore is you take your application along after 6 October to open an 'additional account' for a max of £1500 and will be able to select only from the ISA range then available....

MarkyMarkD

I don't know how Nationwide do that, as it is not how the rules read to me.

Most providers will maintain their records of ISA subscriptions "per account" rather than "per customer", and hence will not be able to allow two accounts for the same customer. This is a problem of the government's own making - changing the rules after the tax year had already started (and, worse, making it effective part-way through the tax year for no apparent reason).

I believe many providers will simply be unable to allow the two account approach, and therefore you may be unable to fund the additional £1,500 come October.

Jonbvn

Newcastle BS have just introduced a FR ISA fixed for 5 years at 5%.

http://www.newcastle.co.uk/savings/5yearfixedrateisa

Withdrawals are allowed subject to 90 days notice.

harz99

One for Kazza; the Nationwide have recently (May sometime) changed there policy of not allowing transfers in to their Cash Isa products - their fixed rate cash isa bond does allow for it to be opened by a transfer only, and very importantly for me and maybe others, it offers monthly interest paid away if you wish, so at 3.40% the three year version looks to be the best of its type available to us monthly income seekers.

Just been into my nearest branch (60 miles each way) to complete the forms.

Andy_G_3

harz99 wrote: »

the Nationwide have recently (May sometime) changed there policy of not allowing transfers in to their Cash Isa products - their fixed rate cash isa bond does allow for it to be opened by a transfer only, and very importantly for me and maybe others, it offers monthly interest paid away if you wish, so at 3.40% the three year version looks to be the best of its type available to us monthly income seekers

Barclays was offering me 5% income cash ISA on balances of £25,000+ fixed for 5 years in a recent visit to their branch.

The offer was printed out on an A4 piece of paper in branch so I'm not sure how widespread it was - I haven't seen it offered or advertised? Maybe the offer has finished already? I'm looking for growth not income right now and didn't discuss the small print - but if you are looking for income and have £25,000+ maybe worth asking..........

From the limited discussion I had with them you could commit £25,000 and then do whatever with the rest if your ISA was large enough.