Cash ISAs: The Best Currently Available List

goRt

zxspeccy said:

Oasis1 said:

zxspeccy said:

Email from Ford Money to advise they have increased their Flexible Cash ISA from 1.25% to 1.35%, so only a small increase (however they did increase from 1.00% to 1.20% on 13th July and to 1.25% on 26th July). This would be their third increase since 13/07 and just before today' base rate announcement.

Still doesn't beat any of MSE's Top Picks: https://www.moneysavingexpert.com/savings/best-cash-isa/#topeasy. Is there a reason you're sticking with Ford?

The first two on that list (1.50%) do not allow transfers in, whilst the second two (1.40% and 1.36%) do not offer monthly interest (which is my preference). The nearest like for like ISA for me is Shawbrook Easy Access Cash ISA at 1.40%.

I will exceed my PSA this year so Cash ISAs still serve a purpose to me, however there is always a tipping point. When rates on other savings products pay over 20% more than I can get from an ISA, then it maybe worth ditching and switching and take the hit on the tax. That said I don’t really need any access to my ISA money so can also consider a Fixed Rate ISA. I will hold fire at the moment to see what reaction the banks have to the Base Rate change from yesterday, however I feel it may soon be time to consider 1-year fixed rates for some of my money.

The "tipping point" would be 25% more

Expotter

I don't know why but the MSE list doesn't mention the Triple Access cash ISA ( Issue 2) from Newcastle Building Society at 1.5%. It does accept transfers and is a flexible ISA.

steveksullivan

goRt said:

zxspeccy said:

I will exceed my PSA this year so Cash ISAs still serve a purpose to me, however there is always a tipping point. When rates on other savings products pay over 20% more than I can get from an ISA, then it maybe worth ditching and switching and take the hit on the tax. T

The "tipping point" would be 25% more

@goRt  - oe anyone else - Just checking what I'm missing, but to save me some time - why 25% and not 20%?

Expotter

Say you've got £1k, 25% of 1000=250= 20% of 1250.

steveksullivan

Expotter said:

Say you've got £1k, 25% of 1000=250= 20% of 1250.

I cant fault the maths ...... but .....

1K is your capital invested ...... you pay 20% tax on the INTEREST ONLY  (surely.... ??)

So why are you calculating 20% of £1250?

Apologies again if I'm being even more stupid than usual ..... it's a bit early for a drink to help ....(haha!!)

Expotter

This might be clearer,
A gross rate of 2% is after 20% tax equivalent to 1.6% (or 1.2% if 40% tax is applied). 20% of 2 is 0.4= 25% of 1.6%

refluxer

Paragon have upped the rate of some of their previously-issued Triple Access Cash ISAs to 1.55% (issues 7 & 8 that I know of - possibly others) but not the currently-available issue 9, curiously.

Oasis1

Nude now doing 1.75% - cracking rate for me personally, compared to 0.9% with Beehive (even with £2 monthly fee) https://www.getnude.com/lisa

freeguy1984uk

Hello, I've been keenly viewing this thread for the past couple of months and have finally signed up to the forum.

I have a question please: Is it normal that variable ISA's don't automatically increase rates for existing accounts?

They were happy to reduce rates automatically, but recently I have to keep asking them to give me their new increased rate.

This is for Sainsbury's ISA by the way, I have emailed a few other providers with mind of switching to them, but they say the same thing, no automatic rate increase, I have to manually keep an eye on it and addres it myelf.

masonic

freeguy1984uk said:

Hello, I've been keenly viewing this thread for the past couple of months and have finally signed up to the forum.

I have a question please: Is it normal that variable ISA's don't automatically increase rates for existing accounts?

They were happy to reduce rates automatically, but recently I have to keep asking them to give me their new increased rate.

This is for Sainsbury's ISA by the way, I have emailed a few other providers with mind of switching to them, but they say the same thing, no automatic rate increase, I have to manually keep an eye on it and addres it myelf.

Yes, it is normal for banks to offer a new edition of a savings account rather than raise rates for everyone. Some do raise rates on existing accounts, some don't. It is down to you to keep an eye on the best accounts, the top account of the future may be offered by a different bank than that of today.