Cash ISAs: The Best Currently Available List

Spiggle

jonmcclelland wrote: »

I am really interested in opening with the Cheshire for 12/13 yet can only see opening information for this current tax year with the minimum opening allowance.

Can this account be opened with next years tax allowance in mind, say with a post-dated cheque (6th April) as I've already subscribed fully this year?

Hi jon,

I opened one of their ISA and they're pretty much on the ball but having to deposit by cheque allows you some leeway. Why not give them a ring and ask?

thingamaBob wrote: »

In the list in post 1, for the Santander Direct 3.3% ISA, it says "Rate Guarantee? Yes"
But, both the basic 0.05% and the 2.8% bonus are variable.
So, should post 1 be changed to say no guarantee, if not, what is guaranteed?
If I opened one of these, could they reduce the bonus rate to, say, 2% in a couple of months time?
Would it be safer to go for one where the bonus is fixed for a year, such as the Halifax 3%? (Post 1 says this has no guarantee, but it is fixed for a year)

Hi Bob,

Whilst it isn't guaranteed it is highly unlikely that they will drop the rate during the year as it would virtually guarantee no new custom for them next year. And as it's an easy access account customers would be running from them so fast it would be highly damaging for them.

The quote from their website is:

"Receive a preferential rate of 3.30% AER (variable) tax free for the first 12 months."

Only you can decide which is best for you and whether you have any transfers to make is a factor too.

Hope that helps,
Spigs

thingamaBob

Spiggle wrote: »

Hi Bob,

Whilst it isn't guaranteed it is highly unlikely that they will drop the rate during the year as it would virtually guarantee no new custom for them next year. And as it's an easy access account customers would be running from them so fast it would be highly damaging for them.

The quote from their website is:

"Receive a preferential rate of 3.30% AER (variable) tax free for the first 12 months."

Only you can decide which is best for you and whether you have any transfers to make is a factor too.

Hope that helps,
Spigs

Hi Spigs,

Thanks for the reply, that is more or less the way I was thinking. It's true if they did drop their rate, people would be looking to move elsewhere but that would also depend on whether there were any other's still offering a better rate and accepting transfers. These good rates do seem to disappear soon after 6th April and taking a 3% now that's fixed for a year could be better than a variable 3.3% that reduces to 2.5% in a month or two.

My main reason for posting was that I am a little confused by the Rent Guarantee Yes/No's in Kazza's OP and was wondering whether Kazza had just missed updating the Yes to No on the Santander one or whether I was missing something. For the Halifax one, as with most of the others, Kazza says there is no guarantee although the annual bonus is fixed for a year, so I presume the "no" relates to the variable basic rate. However, the Santander one is variable for both the basic rate and the bonus, so why does this say there is a guarantee?

Spiggle

thingamaBob wrote: »

... However, the Santander one is variable for both the basic rate and the bonus, so why does this say there is a guarantee?

It's probably due to historical performance of the satander ISA where the advertised rate has not been reduced during the term of 12 months. And possibly due to the quote I gave you from the site.

I'm sure Kazza will be along to answer when she gets the time.

take care,
Spigs

SavingSteve

Kazza242 wrote: »

Here are the latest updates to the ISAs list on page one.

Principality Building Society have launched issue 3 of their popular e-ISA, now paying an improved rate of 3.10% on balances of £1+. The rate includes a 1.30% bonus for 12 months from account opening. It allows transfers in of ISAs held with other providers.

I added the Cheshire BS Direct Cash ISA improved rate earlier this week. It pays 3.50% (increased from the previous rate of 3.35%). It does not accept transfers in. The rate includes a 2.50% bonus until 30/09/2013.

The AA have launched a new Postal Access ISA, paying 3.50%. It has a minimum opening deposit of £2,500 and replaces the Internet Access ISA, which has been withdrawn. The Postal Access ISA does not accept transfers in and the rate includes a 3.00% bonus for 12 months from the account opening date.

Saga have launched a new one year fixed rate ISA, paying 3.60%. It is available to those aged 50 or over only. It doesn't accept transfers in. It has a minimum opening deposit of just £1.

For under 50's the Cheshire one is definately the better option compared to AA.

It has a longer bonus period, so avoids the rush of trying to transfer out this time next year. As it stands they will be getting my 2012/13 allowance.

(And I would much prefer to have my money with a Building Society rather than a breakdown recovery service - I know it's run by Birmingham Midshires, but I can't bring myself to see beyond the AA name!!)

DreamerV

With the Cheshire BS 3.5%, it says you need to fund it with a £1000 cheque (minimum). From the terms and conditions, am I right in thinking after this you can continue to fund it as you wish (up to the limit) until 5th April 2012? I at first thought you need to do that by transaction slips they post you, but from the terms and conditions I notice it mentions transfer. I take that to mean you can do bank transfers from your current account elsewhere?

Thank you,
DV

Spiggle

DreamerV wrote: »

With the Cheshire BS 3.5%, it says you need to fund it with a £1000 cheque (minimum). From the terms and conditions, am I right in thinking after this you can continue to fund it as you wish (up to the limit) until 5th April 2012? I at first thought you need to do that by transaction slips they post you, but from the terms and conditions I notice it mentions transfer. I take that to mean you can do bank transfers from your current account elsewhere?

Thank you,
DV

Well I've just had a look at the t&c and it appears you can't. The Direct Cash ISA (page 2) specific t&c for the account (from the Cheshire website) state:

All deposits must be made by cheque or transfer from an existing Cheshire non-ISA account. This account can only accept new subscriptions and it is not possible to add previous ISA subscriptions into this account. Any transaction on the account must be made by post using the relevant form.

The transfer is from an existing Cheshire BS non-ISA account. So, you could print out the forms from the website and send your cheque to them. If you want to fill it up to the £5340 before 5th April 2012, you need to get the cheque to them pdq I would think! Once the 6th April 2012 has passed there is nothing stopping you from filling this up with the 2012-13 allowance of £5640.

Hope that helps,
Spigs


P.S. Sorry about the font!

DreamerV

Thanks Spiggle. I completely missed that is was from Cheshire non-ISA accounts, and for some reason read non-Cheshire accounts! I don't know why I put 2012, I'm actually looking to open a 12/13 ISA when the time comes, with up to £1000 opening balance, which I can fund during the year (hitting maximum by end of March 2013). It would be nice if I could transfer it if a better rate comes up.

I don't particularly want to open a separate Cheshire account to continue funding this ISA

SavingSteve

If you're going to fund in full why not just send a £5,640 cheque when opening?

DreamerV

SavingSteve wrote: »

If you're going to fund in full why not just send a £5,640 cheque when opening?

I don't have £5640 to put in it, but will build it up during the year.

kar999

Thanks Kazza for posting the Saga 3.6% one year fixed details. I almost missed it as although it's the highest rate, it's not on most market leader tables, presumably due to it's over 50's restriction.