Cash ISAs: The Best Currently Available List

anna42hmr

KTF wrote: »

My account is showing as open today (applied yesterday) so now I have 30 days to fund it - which will be on day 28 when the new tax year starts - unless anything better comes along.

My virgin isa is now showing as open today too, so have filled in the isa transfer form and will get that in the post today.

dosh37

I'm wondering if I can open one of these Virgin 1yr fixed rate accounts and fund it by transfering money from an existing ISA? I can't use my ISA allowance for 2013/2014 because it's already used up.

anna42hmr

dosh37 wrote: »

I'm wondering if I can open one of these Virgin 1yr fixed rate accounts and fund it by transfering money from an existing ISA? I can't use my ISA allowance for 2013/2014 because it's already used up.

Yes, that's what I am doing, and the transfer form on the site asks if you want to transfer this years deposits and how much you've already paid into it this tax year. As long as the transfer is completed within the first 30 days after opening you should be fine.

dosh37

Ok - I will see if I can do the same.
The interest rate for my existing 1yr fixed ISA with Julian Hodge Bank is about to drop from 3.2% to 1.6%.
I can't find much else above 1.6% that allows transfers in.

wiltslass

Am I right in thinking that if I opened one of the 2% virgin accounts today I could not access the money until towards the end of may next year without losing interest so my money would be tied up for 14 1/2 months?

anna42hmr

wiltslass wrote: »

Am I right in thinking that if I opened one of the 2% virgin accounts today I could not access the money until towards the end of may next year without losing interest so my money would be tied up for 14 1/2 months?

Yeah the maturity date of the 2%is may, so yes if you draw out earlier there is a financial penalty, like there is with all fixed rate isa's that allow withdrawals. But as it's 60 days penalty, is lower than some similar ones. If you think you will need the money earlier, then it may not be the account for you.

boobbby

2 years ago I took out a 2 year fixed ISA with LLoyds at 3.7%. During the 2 years I have been able to add to the ISA with transfers from other maturing ISA's and also top it up with the annual Isa allowance. Providing you have £20000 in the ISA then it is again affording the same deal but now at 2%. Is it still a good deal ?

wiltslass

anna42hmr wrote: »

Yeah the maturity date of the 2%is may, so yes if you draw out earlier there is a financial penalty, like there is with all fixed rate isa's that allow withdrawals. But as it's 60 days penalty, is lower than some similar ones. If you think you will need the money earlier, then it may not be the account for you.

I was thinking more about not being able to transfer to another isa next year without losing interest until late May when the 'isa season' will be over and best deals may be gone. Hopefully interest rates will be better next year LOL. I do like the monthly interest option though and am glad to see a slight improvement in rates offered.

Consumerist

boobbby wrote: »

2 years ago I took out a 2 year fixed ISA with LLoyds at 3.7%. During the 2 years I have been able to add to the ISA with transfers from other maturing ISA's and also top it up with the annual Isa allowance. Providing you have £20000 in the ISA then it is again affording the same deal but now at 2%. Is it still a good deal ?

The 2% rate seems about par for the course on 2-yr fixes and it is good that you can transfer-in maturing ISAs and cash during the term - that isn't usual for fixed ISAs.

The only downside risk I can see is if rates generally take off early in the term. If you can believe Mark Carney at BoE, that is not supposed to be happening but always a risk.

hgt

Consumerist wrote: »

The 2% rate seems about par for the course on 2-yr fixes and it is good that you can transfer-in maturing ISAs and cash during the term - that isn't usual for fixed ISAs.

The only downside risk I can see is if rates generally take off early in the term. If you can believe Mark Carney at BoE, that is not supposed to be happening but always a risk.

A better option than the 2% 2-year fix at Lloyds could be the 2-year tracker ISA from KRBS....
http://www.krbs.com/products/savings-and-isas/isas/tracker-isa/two-year-tracker-isa-issue-5/

The KRBS ISA tracks at base rate plus 1.51% (so is currently 2.01%), so if base rates go up, so will the rate. Of course in the unlikely event that the base rate goes down, so will the rate on the account! A nice feature, is that the KRBS tracker allows additional deposits and transfers-in at any time. There is a 180 day interest penalty on withdrawals however.