Nationwide Flexclusive ISA Issue 3

Paul_Varjak

Rumour has it that a Flexclusive ISA issue 3 will be launched @2.5%. No details yet on bonus rates/periods.

Flexclusive ISA Issue 3 is for new ISA monies only (i.e. no transfers in) but I have a sneaking feeling that consolidation of existing Nationwide Cash ISAs may still be possible into Flexclusive ISA Issue 3, even if that may involve another battle with Nationwide over their T&Cs!

For those that have existing Flexclusive ISAs (issues 1 or 2) you can still transfer in/consolidate existing ISAs up until 30/04/2013. You can also add new 2013/14 ISA monies to any existing Flexclusive ISA and, as the rates on Issue 1 (4.25%) and Issue 2 (3.5%) continue until 31/10/2013, it may well be better to use those for 2013/14 monies.

There was also mention of another instant access ISA @2.25% being available from 6 April. Again, no details of any bonus rates/periods. Also, no information on whether transfers in/consolidations are permitted.

When the Flexclusive ISA issue 1 launched in April, 2012 it was 4.25%. Issue 2 launched a few weeks later at 3.5%. So, rates are clearly trending downwards, despite BOE Base Rate remaining the same.

NOTE: DO NOT TAKE THIS INFORMATION AS GOSPEL. THIS WAS BY WORD OF MOUTH AND NATIONWIDE COULD CHANGE ITS MIND BEFORE LAUNCH! KEEP AN EYE ON THE PRESS RELEASES HERE...

http://www.nationwide.co.uk/mediacentre/pressreleases/default.htm

badger09

Thanks Paul

Just a minor point - Issue 1 is 4.25%, not 4.5%.

2.5% isn't particularly competitive

Paul_Varjak

badger09 wrote: »

Thanks Paul

Just a minor point - Issue 1 is 4.25%, not 4.5%.

2.5% isn't particularly competitive

Of course, it depends on what other providers may offer in the new tax year. Nationwide's competitors may offer even less!

Gromitt

At this rate, I think I might not bother with a cash isa this year and instead put 11K into my S&S ISA. More risk, but far better returns. I shall wait for the end of next week before deciding.

Paul_Varjak

Gromitt wrote: »

At this rate, I think I might not bother with a cash isa this year and instead put 11K into my S&S ISA. More risk, but far better returns. I shall wait for the end of next week before deciding.

Or ignore ISAs altogether and put your money into regular savers, especially if you are a non-tax payer!

Gromitt

Paul_Varjak wrote: »

Or ignore ISAs altogether and put your money into regular savers, especially if you are a non-tax payer!

All my regular savers are already full and counted for over their lifetime. £300 to FD (8%) and £250 to Nationwide (6%).

I think the best deal at the moment seems to be to open a Santander 123 account via Quidco (£55 cashback), then open the 123 Exclusive ISA to get 3% guaranteed for 2 years.

The £55 cash back will pay the £2/month account charge for the 2 years and give you £7 left at the end

So thats about £349 interest on £11400.

Plus you get a 3% instant access account as well.

Assuming everything goes ok (ie, you get the cashback), I don't see it getting better than that.

If you don't get the cashback, you'll end up with £294, still better than the £285 from Nationwide, but slightly less than the £319 you'd get from the 2.8% Santander ISA.

Adjust values appropriately if you are going to transfer as well.

As with most things in life, its a gamble.

Paul_Varjak

Norwich & Peterborough have a good range of regular savers too, though the interest rates do not match those from FD and Nationwide. But, for non-tax payers, they still beat the best ISAs.

anoncol

Sorry but what is FD?

ajdj

FD = First Direct

Where have you got the 2.5% rate from, is it a guess? Hardly exclusive or flexclusive is it? Especially when Santanders instant access ISA is the same and allows for transfers in.

I'm hoping for higher than 2.5%, something closer to 3% would be my guess.

I asked when I was in the branch yesterday and was told a Flexclusive issue 3 is on its way, but categorically no other details on it yet.

Paul_Varjak

Still no offical news on the Nationwide Flexclusive ISA but details of Web ISA Issue 3 have been announced...

http://www.nationwide.co.uk/savings/cash_isa/webisa/default.htm

Paul_Varjak

http://www.nationwide.co.uk/mediacentre/pressreleases/viewarticle.htm?id=2162

Nationwide launches Flexclusive ISA and Easy Saver ISA
04 April 2013

Nationwide Building Society is launching two new cash ISAs, Flexclusive ISA and Easy Saver ISA, available from 6 April.

Flexclusive ISA (Issue 3) is the Society’s best instant access cash ISA paying 2.50% AER*/tax-free variable, which includes a fixed introductory bonus of 1.00% until 30 November 2014. Flexclusive ISA is available to main FlexAccount, FlexDirect and FlexPlus current account customers** and to those who open one of Nationwide’s three current accounts and use Nationwide’s Account Transfer Service. This reinforces Nationwide’s strategy to reward customers who have a deeper relationship with the Society.¹

For those without a Nationwide main current account, they can apply for Easy Saver ISA (Issue 1), which pays 2.25% AER*/tax-free variable. The rate includes a fixed introductory bonus of 1.75% until 31 October 2014.

Both accounts will appeal to those savers who want to use their 2013/14 tax-free cash ISA allowance straight away but, at the same time, want immediate access to their money. The minimum opening balance for both Flexclusive ISA and Easy ISA is £1, with a maximum deposit of £5,760 for the 2013/14 tax year. Transfers in from existing ISAs held with Nationwide or another provider are not permitted.