New Nationwide ISAs

badger09

Also posted on ISA board

New Nationwide Single Access ISA 1.3% & Loyalty Single Access ISA 1.4%


https://www.nationwide.co.uk/products/isas/isas

Edited to remove emoticon - no idea how it got there:o

Rich2808

Its instant access - but if you make more than one withdrawal a year the rate drops to 0.5% from then on in that account year. The account year being the 12 months from when you opened the account and so on.

intalex

Anyone with any idea how to open one with £0 in order to be able to transfer in an existing ISA?

(I have fully subscribed this tax year)

Rich2808

intalex wrote: »

Anyone with any idea how to open one with £0 in order to be able to transfer in an existing ISA?

(I have fully subscribed this tax year)

You can do this here - but its a bit more complicated if you are not an existing customer.

https://www.nationwide.co.uk/products/isas/transfer-your-isa#tab:TransfermanageacashISA

ValiantSon

Unless you actually need the tax protection then there is still nothing to write home about with either of these accounts. You can get a better return outside of the ISA wrapper, including on notice accounts which will pay a higher interest rate than the oh so special existing customer Nationwide rate.

Plus

ValiantSon wrote: »

Unless you actually need the tax protection then there is still nothing to write home about with either of these accounts. You can get a better return outside of the ISA wrapper, including on notice accounts which will pay a higher interest rate than the oh so special existing customer Nationwide rate.

You can? I don't see any instant access accounts for more than 1.3% on the MSE savings guide.
(this account suits those people want instant access 'just in case', rather than because they're moving cash regularly)

If you want a 1 year fix that's something else, but then you have either no access or to pay a hefty penalty.

Obviously there's regular savers and current accounts, but those pickings are getting thinner and thinner these days.

intalex

Everyone's circumstances are different and there will always be some people for whom this account is an attractive (possibly even the best possible) option in the current market under the current rules and trends!

MrsWenger

Hi everyone,

I have sent a message to Nationwide to ask this question but does anyone know if deposits can be made after the initial one please?

Can!!!8217;t see anything about this in the account details. I know there is limited time for this year but thinking about the new ISA year.

YorkshireBoy

MrsWenger wrote: »

Hi everyone,

I have sent a message to Nationwide to ask this question but does anyone know if deposits can be made after the initial one please?

Can!!!8217;t see anything about this in the account details. I know there is limited time for this year but thinking about the new ISA year.

Your question is answered in condition 10 of the product T&Cs, which is yes they can.

ValiantSon

Plus wrote: »

You can? I don't see any instant access accounts for more than 1.3% on the MSE savings guide.
(this account suits those people want instant access 'just in case', rather than because they're moving cash regularly)

If you want a 1 year fix that's something else, but then you have either no access or to pay a hefty penalty.

Obviously there's regular savers and current accounts, but those pickings are getting thinner and thinner these days.

Your last paragraph points out exactly where you can get a better rate. You'll notice that I didn't actually say anything about easy access accounts! The idea that these are, "getting thinner and thinner" is an interesting one. Last time I checked there were at least 6 current accounts offering savings rates above the Nationwide ISA rates (Santander 123 - 1.5%; Nationwide FlexDirect - 5%; Tesco - 3%; TSB Classic Plus - 3%; Bank of Scotland Vantage - 2%; Club Lloyds - 2%) which between them (and Santander 123 on its own) would allow you to earn those higher rates on a full ISA allocation, or indeed more!

I did talk about notice accounts offering better rates, and my point was completely valid given the limited withdrawals available in these Nationwide ISAs, i.e. only one per year without suffering loss of interest. (Secure Trust Bank: 180 days notice = 1.66%; 120 days notice = 1.56%; 90 days notice = 1.46%).

One year fixed rate savings bonds are, therefore, clearly not the only option.

Oh, and there is an easy access account paying more than 1.3%, with a requirement to make a monthly £100 deposit (but not keep it there), reducing to £50 from 3rd April. NatWest Savings Builder pays 1.5%. (I actually don't think it's a great account for other reasons and have said so in a separate thread, but it still adds further support to the point I made).

So yes, you can get a better return outside of the ISA wrapper, and these particular ISAs are nothing to write home about.

ValiantSon

intalex wrote: »

Everyone's circumstances are different and there will always be some people for whom this account is an attractive (possibly even the best possible) option in the current market under the current rules and trends!

If they are holding so much cash that they have exhausted the better options available then yes, but even then, only in as much as their tax rate eating in to the interest earned reducing that return below 1.3% or 1.40% accordingly.

If someone is holding that much cash then it would be worth them considering why and looking at a S&S ISA as a more suitable vehicle for their money.

What I said was that these were only attractive rates for those needing to shelter savings interest from tax (and that is only where the tax reduces the effective rate below the interest rates being paid on these ISAs).