Cash ISAs: The Best Currently Available List

pecunianonolet

They are all large honeypot offers. They lure you in with a high rate and once you are in the trap you realise very quickly that they have no harm pushing you over the cliff edge when the honeymoon phase is over with lower rates and only very small in the T&C's they tell you about all the further restrictions. 

E.g.

- Not be able to open a Chip ISA "ever" again
- Moneybox can't welcome you back, apparently for technical reasons once transferred out
- Trading only gives you a slightly higher rate in exchange for some risk by having to move from Cash ISA into S&S ISA 4.5% vs 4.6% but you have to accept QMMF's
- Tembo doesn't have proper and clear T&C's, only by contacting them via chat I found out that their notice period is 1 day and some other questions weren't answered at all
- CMC invest offers 4.85% and you do have to accept QMMF's
- Plum has so many watch outs that there isn't enough time to list them all, just stay away from them for ISA's (their customer service is terrible too)

Transferring larger sums can be risky and you may even have to accept losses, e.g. Moneybox only deposits funds the next working day after they received them so for sure one day lost, Tembo seems to be the same. Sometimes it is better to accept a slightly lower rate instead of chasing some short lived rate unicorns

Westbrom to Virgin took 2 days recently.

Monday afternoon instructions provided online to Virgin. Immediate acknowledgment of receipt of instructions. Tuesday morning, Westbrom sent me a text that they have received transfer instructions. Wednesday morning Virgin confirmed transfer complete and deposit made. Nothing lost of my £1.05 transfer away from Westbrom, which I opened last year speculatively but in the end never used. 

jwelly

pecunianonolet said:

- Trading only gives you a slightly higher rate in exchange for some risk by having to move from Cash ISA into S&S ISA 4.5% vs 4.6% but you have to accept QMMF's

Would you mind clarifying this bit here please?

I have had a look and can't find any reference to this in their T&Cs.

It almost sounds like you are suggesting that opening a Trading 212 cash ISA means it will become an S&S ISA whether you like it or not.

sammy_zammy

jwelly said:

pecunianonolet said:

- Trading only gives you a slightly higher rate in exchange for some risk by having to move from Cash ISA into S&S ISA 4.5% vs 4.6% but you have to accept QMMF's

Would you mind clarifying this bit here please?

I have had a look and can't find any reference to this in their T&Cs.

It almost sounds like you are suggesting that opening a Trading 212 cash ISA means it will become an S&S ISA whether you like it or not.

No, they’re saying that in order to get a better rate you have to move to a S&S ISA. Your cash ISA remains a cash ISA unless you transfer it.

pecunianonolet

jwelly said:

pecunianonolet said:

- Trading only gives you a slightly higher rate in exchange for some risk by having to move from Cash ISA into S&S ISA 4.5% vs 4.6% but you have to accept QMMF's

Would you mind clarifying this bit here please?

I have had a look and can't find any reference to this in their T&Cs.

It almost sounds like you are suggesting that opening a Trading 212 cash ISA means it will become an S&S ISA whether you like it or not.

Certainly,

The cash ISA is paying 4.5% for existing customers. All your funds are deposited with banks they have selected to work with. Each bank has their own protection so if one of them goes under you are protected for that proportion. Interest is calculated and accrued daily and paid monthly. They are basically the only provider who accrue on unpaid interest.

Trading also offers a S&S ISA and they pay existing customers 4.6% for uninvested cash. The cash will be split into bank deposits and some will be invested by Trading into QMMF's (e.g. BlackRock). The bank deposits are protected the QMMF part isn't (some exceptions apply). So should the QMMF fail, that proportion invested may be at risk. Interest s calculated daily and also paid daily (as it also was for the Cash ISA before it was moved to monthly payment on 8th January).

How risky QMMF's really are is a different story but I deem it as low risk. Everyone needs to assess that based on how risk averse you are.

In short, if you want 100% protection, stay with the 4.5% rate in the Cash ISA. If based on your own risk appetite and research about QMMF's you are happy with it, you can make an internal transfer in the T212 app, which is immediate.

If your risk appetite, including risks of things going wrong with a transfer lead to the conclusion that you would like to benefit from one of the other market offers, Tembo, CMC Invest and others with currently higher rate offers you can transfer and you may realise a higher return. 

flobbalobbalob

My Zopa ISA pot bonus expires 6'th April. No offer to update it !

"You’re currently earning 4.30% AER* (4.21% gross**) variable on Access ISA pots. This includes a 0.5% AER*/gross** fixed bonus rate, which will expire on 6th April 2025. After that, you’ll earn 3.80% AER* (3.73% gross**) variable."

ToastLady

flobbalobbalob said:

My Zopa ISA pot bonus expires 6'th April. No offer to update it !

"You’re currently earning 4.30% AER* (4.21% gross**) variable on Access ISA pots. This includes a 0.5% AER*/gross** fixed bonus rate, which will expire on 6th April 2025. After that, you’ll earn 3.80% AER* (3.73% gross**) variable."

In same position, received email today. Currently looking elsewhere, but don't want any of the offers with 3 month bonus. Would rather keep it flexible, but not compulsory. Think a good bit of research over next week or so to go through all options. Monument would have been good, but not accepting transfers in at the moment.

flobbalobbalob

Monument ISA. 
They say they are gradually making transfers in available. Has anyone got this feature on their app yet please?

dingling68

I contacted Zopa about the ISA and the bonus rates being offered to new customers and not existing members, and the customer services guy told me to "keep an eye out" for upcoming offers ... nothing may come of it, but who knows. Like many I also have a bonus rate expiring on 6/4/25. I have opened a couple of others with £1 just in case [I have contributed just below the max this year to keep a little in hand just in case]

Saver73

Whilst I know it's not the best rate, Ford Money Flexible ISA at 4.35% was easy to open, though I do have other existing accounts.

Open and funded in 24 hours. Customer service was great!

pecunianonolet

I had a Zopa Cash ISA, which I opened around a year ago but never funded it in the end. I closed it earlier in the app and I instantly got the offer for me to open the 5.01% pot.