Your Cash ISA interest rate

cafenervosa_2

I was just wondering what interest rate people are getting with their tax free ISA's.  Mine is 5.79%.

I should note that with my ISA it is linked to the mortgage rate and will always stay 1% less. This is useful with the current rates rising because each time the BoE rise rates the Mortgage rate will always go up the following month and thus so will my savings ISA. Am I right in thinking that some ISA's don't always increase the rate when the BoE rises the rates ?

The account I have got is no longer available and has not been for a long time. I started with a Tessa then later moved to a cash isa about 4 years ago. Since I got my account the new isa's seem to have gone downhill for new customers >:(

Robert_Sterling_3

I like the sound of you ISA rate.
I hate the sound of your mortgage rate.
If they were both lower you would almost certainly be better off.
Don't let the rate on you ISA blind you the rate on your mortgage.

cafenervosa_2

I don't have a Mortgage, I was just saying that the interest rate with my ISA is linked to the mortgage rate of which to the company charges its customers (Cheshire BS). Like I say if the BoE increase the rates then some ISAs might not pass it on to saving accounts but with my account the ISA rate has to go up if the mortgage rate does. Let's face it I can never see the company not putting up the mortgage rate when the BoE does ;D

Robert_Sterling_3

Now I love the sound of your ISA rate.

cafenervosa_2

I was just in the right place at the right time when I got that account 4 or 5 years back.  I was looking for a good savings account and it just happened to turn out to be this ISA.  I've yet to see an ISA thats offering a better interest from what I've read in the papers.

Robert_Sterling_3

Money supermarket say that

West Bromwich Fixed Rate ISA for 2 years at 5.75% is a best buy.

Reaper

My Cheshire TOISA pays the same rate. In fact I nearly blew it because the advertised rate on their web site for new applicants is much lower, so I nearly transfered it before fortunately discovering my mistake.

I think it got tied to their variable mortgage rate before all the building societies started ramping up the variable rate to pay for the short term discount deals.

cafenervosa_2

Yea Reaper yours sounds like the same as mine. Like you said it would be a mistake if you closed it now as this type of account is rare now.

You are right it is tied to their variable mortgage rate so that it will always stay just 1% less. My advice is to keep it as long as you can to get the most ouf of it.

The 'Tessa Only ISA' thats now a closed account is getting a whopping 6.04%

cafenervosa_2

Money supermarket say that

West Bromwich Fixed Rate ISA for 2 years at 5.75% is a best buy.

Does this mean it won't increase of the BoE rates go up ? I'm not sure I would like a rate fixed at this

Reaper

The 'Tessa Only ISA' thats now a closed account is getting a whopping 6.04%  :o

So it does.
It went up on 1st September. Now I have an even bigger ;D on my face!
Don't think I'll be closing that account for a long time. Bet the Cheshire are regreting it now!

cafenervosa_2

I had a Tessa but I had to close it after 5 years because I would have to pay tax with it. When does yours mature or is this a different type of account ?