Cash ISAs: The Best Currently Available List

Johnjdc

I prefer accounts with penalties to keep the interest hidden for as long as possible so I don't feel like I'm losing it! Other accounts I prefer monthly so it's more consistent in my budget spreadsheet.

As to Virgin vs Leeds it looks like you're right if you're going to take the money out at any point in the first two years although by the 18 month point the difference is down to about £20 per £10k invested.

For me this is one half of my cash ISA money, which in turn is about one third of my total money, so if interest rates go up significantly I'll call that a nice problem to have and take the win on my premium bonds and other cash...

refluxer

Johnjdc said:

Is it me or is the Leeds BS 30 month fix just insanely good? Is there a catch - I've sent off for the forms to transfer (they want it done on paper not online). A 2.5 year fix which beats the best 5 year fix, and a relatively small (180 day) penalty for moving? The rate is nearly as high as the best 2 year fixes outside an ISA wrapper...

The only downside I can see is that rates might peak before then and might be lower in Feb 2025 than now, so you might wish you had a 5-year fix if you really don't need the money for that long...

It's definitely a good deal at the moment, but I can see 1 year fixes catching up and maybe even exceeding that before the end of the year if the current rate increase trend continues as predicted. To put the recent rises in perspective, the best 1 year fix exactly 2 months ago was 1.46% so that's a 0.6% increase in 2 months.

It's a tricky balancing act though, especially if the funds are currently sat in a lower-paying easy access or maturity ISA account.

bargainhunter888

does anyone have a chart of historical bank rate vs the historical savings rates vs inflation?
be good to see where savings rates could go, in which case would hold on and wait for a 5-6-7-8% fix if ever possible?

kuepper

See Virgin have new 1 year fix that's open to all at 2.06% just after I've switched to 2% exclusive issue 3, so wondering whether to cancel and switch agaIn

2010

kuepper said:

See Virgin have new 1 year fix that's open to all at 2.06% just after I've switched to 2% exclusive issue 3, so wondering whether to cancel and switch agaIn

Big decisions ------------ cancel old and stick £25k into the new fix and gain £15 a year.

refluxer

kuepper said:

See Virgin have new 1 year fix that's open to all at 2.06% just after I've switched to 2% exclusive issue 3, so wondering whether to cancel and switch agaIn

Does your ISA only contain money paid in in the current tax year ? Looks like Virgin allow you to cancel within 14 days but you have to do that in writing (by post) and they'll return the money to you which sounds like it'll be fine for an ISA just containing 'new money' but not if it was a transfer as you'd lose the ISA status of that money.

For a 0.06% increase, you'll be £6/year per £10k better off if you switch, so that's £12/year if it's £20k.

The thing is - if the current trend continues then it'll be beaten within a few weeks, so you'll almost certainly have to bite the bullet at some stage if you want to fix.

kuepper

refluxer said:

kuepper said:

See Virgin have new 1 year fix that's open to all at 2.06% just after I've switched to 2% exclusive issue 3, so wondering whether to cancel and switch agaIn

Does your ISA only contain money paid in in the current tax year ? Looks like Virgin allow you to cancel within 14 days but you have to do that in writing (by post) and they'll return the money to you which sounds like it'll be fine for an ISA just containing 'new money' but not if it was a transfer as you'd lose the ISA status of that money.

For a 0.06% increase, you'll be £6/year per £10k better off if you switch, so that's £12/year if it's £20k.

The thing is - if the current trend continues then it'll be beaten within a few weeks, so you'll almost certainly have to bite the bullet at some stage if you want to fix.

You don't have to cancel old one by post, just have to apply for new one and fund it by transferring old one in at end of application 

refluxer

kuepper said:

You don't have to cancel old one by post, just have to apply for new one and fund it by transferring old one in at end of application 

Are you sure that doesn't incur a penalty ? That's what normally happens if you transfer or close a fixed rate ISA within the fixed rate period.

Or do Virgin allow a transfer if it's within that initial 14 day cancellation window ?

2010

When I closed my Virgin fixed ISA within the 14 day period I sent a secure message and my money was returned within one day.

CompulsiveSaver

Principality Building Society has increased the rates on a few accounts, most interesting to me is their Online ISA (Online ISA (principality.co.uk))
The rate has been increased today to 1.30% (OK, not the best instant access but not too far off), sadly interest is only paid annually on 6th April (no monthly option )
Transfers in allowed, appears to be no restrictions on withdrawing/transferring out.