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Top Cash ISAs

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  • silvercar
    silvercar Posts: 47,396 Ambassador
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    If I open a virgin money ISA that allows transfer in of old ISA, does that count as opening an ISA for this year? In other words I am amalgamating 4 ISAs opened previously into a new Virgin ISA, does that mean that I can't open another ISA elsewhere?
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  • colsten
    colsten Posts: 17,597 Forumite
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    silvercar wrote: »
    If I open a virgin money ISA that allows transfer in of old ISA, does that count as opening an ISA for this year? In other words I am amalgamating 4 ISAs opened previously into a new Virgin ISA, does that mean that I can't open another ISA elsewhere?

    "opening" is irrelevant. You can open as many as you like.

    "subscribing" i.e. depositing new money is where the restrictions lie. ISA transfers, as long as they are being carried out by the receiving ISA provider, do not count as subscriptions.
  • mauvelion
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    The Coventry account, offering 2.4% does NOT allow you to deposit money after they've closed it to new subscribers. So you might only be able to put money in for a few more weeks.

    They're telling me this is similar to a Bond. I've never heard of this before; I've never opened anything like this before, and probably never will again.

    Am on the phone to cancel the account now; and I just hope it doesn't affect my current ISA.
  • IS_A_waste
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    After years of building up cash ISA accounts I am now getting out of them as they mature. What is the point for a standard rate tax payer when every bank reduces the rate they pay on their ISAs by more than the 20% tax rate? It surely can't cost that much to administer?

    RIP ISA
  • jimjames
    jimjames Posts: 17,753 Forumite
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    IS_A_waste wrote: »
    After years of building up cash ISA accounts I am now getting out of them as they mature. What is the point for a standard rate tax payer when every bank reduces the rate they pay on their ISAs by more than the 20% tax rate? It surely can't cost that much to administer?

    RIP ISA



    If you're running ISAs for years with substantial balances then surely it would be worth looking at S&S ISAs rather than cash?
    Remember the saying: if it looks too good to be true it almost certainly is.
  • eskbanker
    eskbanker Posts: 31,958 Forumite
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    IS_A_waste wrote: »
    every bank reduces the rate they pay on their ISAs by more than the 20% tax rate
    Not sure what you're getting at here - if you're comparing ISAs with the equivalent taxable savings accounts then I don't see much evidence that every bank does this at all, in fact from a quick surf I didn't find any bank that offers ISAs at less than their equivalent taxable savings accounts, never mind more than 20% less. Obviously a number of banks offer more lucrative current accounts just now but that's not a like-for-like comparison....

    Just out of interest, when you get out of cash ISAs, what are you going into instead?
  • IS_A_waste
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    I wasn't comparing accounts with the same banks - and am not (really) suggesting a global banking conspiracy - but for some time the best 5 year bonds have been around 3.1% and the best cash ISAs have been 2.4%. I agree that some banks offer the same rate for both - e.g. 2.35% with a certain one - but why would you opt for that anyway?

    I also agree - S&S ISA's make sense - as does P2P maybe?
  • whattochoose
    whattochoose Posts: 708 Forumite
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    I had a variable rate ISA with the Halifax, but saw they were offering a 2 year fixed rate ISA offering 2%, so I've invested £30000 in that.
    I know the news today is that interest rates are expected to increase fairly soon, but not greatly, so I'm thinking the ISA I've taken out represents a reasonable rate of return given present circumstances.
    Do you agree?
  • colsten
    colsten Posts: 17,597 Forumite
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    I know the news today is that interest rates are expected to increase fairly soon, but not greatly

    That's been the news for about two years now, and importantly:p, the news is no more credible, or desirable for the economy and for lenders, than it's been in the last couple of years.
  • xylophone
    xylophone Posts: 44,854 Forumite
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    That's been the news for about two years now, and importantly, the news is no more credible, or desirable for the economy and for lenders, than it's been in the last couple of years.

    Eventually the boy who cried wolf was telling the truth.....;)
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