Cash ISAs: The Best Currently Available List

DragonQ

Dustykitten wrote: »

Completely agree with how depressing that is. Nationwide used to be quite good at giving existing customers slightly better rates, obviously that is a thing of the past.

The annoying thing is I don't even really need an ISA (I don't pay income tax) but if I move all of my ISA money out to, say, the Santander 123 account for 3%, I can't then put it all back into an ISA paying, say, 3.5% in the future.

rb10

The Yorkshire / Clydesdale 40-day notice ISA is showing in the list on this thread as accepting transfers in - in fact, this ISA is for new money only.

And the Wesleyan Bank Cash ISA has been removed from sale.

innovate

DragonQ wrote: »

The annoying thing is I don't even really need an ISA (I don't pay income tax) but if I move all of my ISA money out to, say, the Santander 123 account for 3%, I can't then put it all back into an ISA paying, say, 3.5% in the future.

If you don't pay income tax, and are not likely to have to pay any in future, ISAs become academic. The only thing they would do for you is to avoid the need for you filling in an R85 form so your interest can be paid gross.

Dustykitten

innovate wrote: »

If you don't pay income tax, and are not likely to have to pay any in future, ISAs become academic. The only thing they would do for you is to avoid the need for you filling in an R85 form so your interest can be paid gross.

True but if you are anywhere near retirement age then your state pension would take up a big chunk of your tax allowance and therefore your savings would become taxed.

I'm for the first time thinking of S&S ISAs but need to research as I know so little about them.

DragonQ

innovate wrote: »

If you don't pay income tax, and are not likely to have to pay any in future, ISAs become academic. The only thing they would do for you is to avoid the need for you filling in an R85 form so your interest can be paid gross.

I'll start paying income tax in late 2014, unfortunately.

rb10

DragonQ wrote: »

I'll start paying income tax in late 2014, unfortunately.

You can't start paying income tax in 'late 2014'.

If your total taxable income is greater than your personal allowance for the 2014/15 tax year, then you'll pay tax on all income above the personal allowance received from 6 April 2014.

If not, you won't pay any tax on income received until at least 6 April 2015.

Consumerist

rb10 wrote: »

You can't start paying income tax in 'late 2014'.

If your total taxable income is greater than your personal allowance for the 2014/15 tax year, then you'll pay tax on all income above the personal allowance received from 6 April 2014.

If not, you won't pay any tax on income received until at least 6 April 2015.

If there is a new income source (e.g. pension) which starts late 2014, you won't pay tax on it until that income starts to be received.

DragonQ

rb10 wrote: »

You can't start paying income tax in 'late 2014'.

If your total taxable income is greater than your personal allowance for the 2014/15 tax year, then you'll pay tax on all income above the personal allowance received from 6 April 2014.

If not, you won't pay any tax on income received until at least 6 April 2015.

My total income from late 2014 to April 2015 will definitely be above the income tax threshold. Does that not mean I have to set my accounts to net interest at that time?

Consumerist

DragonQ wrote: »

My total income from late 2014 to April 2015 will definitely be above the income tax threshold. Does that not mean I have to set my accounts to net interest at that time?

If you will be liable to any income tax during the financial year then you will need to pay tax on savings interest during that entire year. When you change your R85 status, it applies for the entire tax year, not just from when you change it.

njp6

Just a heads up to anyone looking to open this ISA had it from head office that the rate is changing to 1.5% on the 1st of Feb 2014 just the same as the Flexclusive 1 account. Info obtained when I complained that they were not treating their loyal savers fairly!