Help me choose- Al Rayan, Danske, Skipton, Nationwide, ?

Archi_Bald

brick wrote: »

Danske absolutely require one to attend a branch meeting in order to initiate an ISA transfer in, at least at the present time.

They would have opened an ISA for me online, provided they could have identified me electronically (which they should have been able to). But they told me that I can only apply for an ISA transfer in person in a Branch. Seems a rather stupid rule.

Archi_Bald

pavane wrote: »

After further reading, my position is unchanged from my last post, I'll give Skipton a try unless there is some good feedback on Al Rayan (Islamic Bank of Britain).

I would generally support your conclusions, especially as Al Ryan doesn't actually have an interest rate, just a prediction of the potential 'profit' of the account.

But I wonder why you appear to be determined to go for a cash ISA even though there is no evidence that any cash ISA will pay anything near as much interest as non-ISA accounts?

You have almost an entire year to commit your money into a cash ISA - why would you throw away better interest for 11+ months? Makes no sense.

pavane

Archi_Bald wrote: »

I would generally support your conclusions, especially as Al Ryan doesn't actually have an interest rate, just a prediction of the potential 'profit' of the account.

But I wonder why you appear to be determined to go for a cash ISA even though there is no evidence that any cash ISA will pay anything near as much interest as non-ISA accounts?

You have almost an entire year to commit your money into a cash ISA - why would you throw away better interest for 11+ months? Makes no sense.

Because I have maxed the current accounts available and a 1.6% ISA beats the highest easy access savings account (Virgin, 1.6% gross).

I have to move my amount from last year at Lloyds so I have to take action. May as well move money from savings account to top up as ISA, it's the same 1.6% rate but isn't taxed. If rates do go up (I doubt anything happening until autumn) I can just transfer again, can't I?

Make sense?

YorkshireBoy

Archi_Bald wrote: »

But I wonder why you appear to be determined to go for a cash ISA even though there is no evidence that any cash ISA will pay anything near as much interest as non-ISA accounts?

You have almost an entire year to commit your money into a cash ISA - why would you throw away better interest for 11+ months? Makes no sense.

There are two possible reasons:

1. They already have £50K+ in the high interest current accounts (or circa £130K as a couple), or

2. They don't want to manage multiple current accounts.

If 1, then I'd ask whether more cash was the best option? If 2, then I can understand that.

EDIT: It was 1. But why type...

Please do not question why I'm investing in a cash ISA, whether I'm aware of high rate current accounts, etc. I know these are asked to help/educate but are irrelevant in my case.

...when a simple "I've already filled all the high interest current accounts" would do?

Archi_Bald

YorkshireBoy wrote: »

There are two possible reasons:

I subscribe to the school that if you need more than £50K in cash at any time in the next 5 or so years, an S&S ISA makes a lot more sense for everybody than keeping your money in cash.

I also would not understand why anyone would want to throw away money in the current tax year.

AndyPK

Thanks. Have you done any online management like transfer in, out, add money or just accessed to log in to view?

I added some money in June/July when the limit was raised to £15K

pavane

Please stay on topic. I have seen this happen on too many threads, a specific question about cash ISA turns into debate over ISA in general. I know you 2 are trying to help but your go to quote of "ISA is stupid, go for current accounts" does not apply.

I do not wish to put money is an S&S ISA now.

Please explain how this is "throw(ing) away money in the current tax year". In light of what I have said above, you're still saying this.

Archi_Bald

pavane wrote: »

I know you 2 are trying to help but your go to quote of "ISA is stupid, go for current accounts" does not apply.

which 2 are you referring to? Why would you not go for current accounts?

pavane wrote: »

I do not wish to put money is an S&S ISA now.

fair enough, but would you like to share the reason why not? More experienced people may be able to point out where you went wrong

pavane wrote: »

Please explain how this is "throw(ing) away money in the current tax year". In light of what I have said above, you're still saying this.

Putting any money into a cash ISA before April 6 2016 at less than 3% AER begs the very serious question of why you aren't using higher interest paying accounts and why you are throwing money away? If you don't understand the question, I do rest my case.

masonic

Archi_Bald wrote: »

fair enough, but would you like to share the reason why not?

I would have thought the reason why not to go for a S&S ISA is the OP potentially needing this money (possibly even within 12 months) for a deposit on a flat.

jimjames

masonic wrote: »

I would have thought the reason why not to go for a S&S ISA is the OP potentially needing this money (possibly even within 12 months) for a deposit on a flat.

Which is fair enough. But also another reason why a cash ISA is potentially pointless if long term savings is not part of the picture and better rates are available elsewhere.