Top Cash ISAs Discussion Area

DragonQ

I have two options currently: switch my previous years' ISA funds from Halifax (3.0%) to Northern Rock (3.05%) or switch my current account from Lloyds TSB to Halifax to get my Halifax ISA up to 3.2%. Even though the latter would mean (probably) losing my £1500 interest-free overdraft, it would still be more beneficial in terms of interest earned. However, my experience so far with the Halifax has been poor and I've never switched my current account before so I'm undecided.

leaphaze

DragonQ wrote: »

I have two options currently: switch my previous years' ISA funds from Halifax (3.0%) to Northern Rock (3.05%) or switch my current account from Lloyds TSB to Halifax to get my Halifax ISA up to 3.2%. Even though the latter would mean (probably) losing my £1500 interest-free overdraft, it would still be more beneficial in terms of interest earned. However, my experience so far with the Halifax has been poor and I've never switched my current account before so I'm undecided.

Why not get the best of both worlds by not switching your current account, but still opening a Halifax Reward a/c, and once a month transferring £1000 by fastcash from Lloyds TSB (using that £1500 interest-free overdraft) to Halifax, then immediately transferring it back from Halifax to Lloyds.

That's what I do with my Nationwide and Halifax accounts. Earns me £5 a month for my trouble. Easy money.

DragonQ

Hmm, never thought of that! If I did that before September would that mean I get 3.0% from April (when it was opened) to August and then 3.2% for September to March (assuming I pay in £1000 into the current account in each of those months)?

Could also take advantage of their Web Saver Reward but then Faster Payments aren't instant like internal bank transfers, are they?


EDIT: Applied for a current account via the online banking service and was told that I'd hear within 14 days whether my application had been approved or not. Whenever I've applied for new accounts at Lloyds TSB it's been an instant approval or rejection.

leaphaze

DragonQ wrote: »

Could also take advantage of their Web Saver Reward but then Faster Payments aren't instant like internal bank transfers, are they?
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It depends (internal bank transfers aren't always instant). You have to be very careful when putting your toes in the water with some providers. It might be prudent to just try out an approach such as this using £1 rather than the full £1000. That way if your £1 disappears into thin air for a while, you still have your £999 in your back pocket.

I've found Faster Payments from Lloyds to Halifax to be very quick, i.e. complete the payment, login to Halifax, your money is there. I've never made a Faster Payment from Halifax to Lloyds, but I would expect it to be quite quick. They always say the money should arrive with 2 hours and if that's good enough for you then great. I use Faster Payments to/from Nationwide, Halifax and Tesco, they generally go through quicker then you would take to login.

The thing that has just come to mind is the Faster Payment daily limit. For Nationwide it is £1000 per day, for Haifax the limit is higher but you can only make one Faster Payment per institution per day.

Finally, (back to the subject of internal transfers) beware of depending on Halifax's internal transfers as far as timing is concerned. I opened an ISA for my mum a while back. I needed to transfer £2000 from her Halifax current a/c into the new ISA, another £3,400 was to come from her Halifax savings a/c. The ISA didn't allow transfers from it's own savings a/c. No problem, I though. Transfer £3,400 from her savings a/c to her current a/c then on to the ISA (all within Halifax). It took 3 days for the money to arrive in the current a/c, I kid you not. I couldn't believe it.

udydudy

After reading the weekly MSE email today, I thought of transferring some of my cash ISAs to either Yorkshire Bank which is the trading name of Cydesdale Bank which is part of the National Australia Bank group.

I cjecked the website for early withdrawal terms and conditions and found the same details as the MSE email. i.e. "early withdrawal charge of minimum £30" and no mention of what the actual charges above this amount was.

Having just got off the phone with a nice lady called Claire at Yorkshire Bank, I have been told the following charges apply:
Days to Maturity Interest Loss(subject to minimum £30)
1-91 days 45 days
92-181 days 90 days
182-273 days 135 days
274 days and above 180 days


which is fine. but on further questioning she was unable to let me know where I coudl find these terms in black and white (either on the website or on the application form which is downloadable or some leaflet in branch). After being on hold, I have been told that I have to either rely on her words or I will get these details once I apply.

I find it funny that the regulators allow this. If after transferring I do not get these details aq saver would be left at their mercy as the telephone call is no proof as such.

But after a lot of questioning and asking whether this is allowe dby the regulators, I have been told I can either invest or get lost(not i those words though)

Would martin be able to get something out of them in black and white. Also is this allowed legally.

Lokolo

Nothing like a bit of Googling.

Section 6 - Withdrawals - part vi)

SPACON

Hi, I wanted to open a Cash ISA for 2011/12 and went with the Santander account as it was the best rate at the time (no longer the case) as recommended by MSE. I received a letter on the 06/05/11 stating that my account had been set up etc. However, I have had trouble setting up their online banking in order for me to deposit my money into the account. This was due to their fault in not sending me out the necessary registration number etc required to set up the online banking. The details I provided them were all correct and I confirmed this every time I called them. After several attempts though to try and get all the necessary registration information from them I still have not deposited any money into my account. I'm now fed up with them and want to open an ISA with another provider. What are my options to do this considering I have a Cash ISA with Santander but with no money deposited into it at any stage. Do I simple close this account and then proceed normally to set up a new Cash ISA or is this Santander account considered my 2011/12 ISA account and I need to arrange a transfer (of £0!) to the new provider? Thanks in advance for any advice.

DragonQ

If you haven't deposited into it, you can just cut all ties with them and open a new ISA elsewhere.

ses6jwg

SPACON wrote: »

Hi, I wanted to open a Cash ISA for 2011/12 and went with the Santander account as it was the best rate at the time (no longer the case) as recommended by MSE. I received a letter on the 06/05/11 stating that my account had been set up etc. However, I have had trouble setting up their online banking in order for me to deposit my money into the account. This was due to their fault in not sending me out the necessary registration number etc required to set up the online banking. The details I provided them were all correct and I confirmed this every time I called them. After several attempts though to try and get all the necessary registration information from them I still have not deposited any money into my account. I'm now fed up with them and want to open an ISA with another provider. What are my options to do this considering I have a Cash ISA with Santander but with no money deposited into it at any stage. Do I simple close this account and then proceed normally to set up a new Cash ISA or is this Santander account considered my 2011/12 ISA account and I need to arrange a transfer (of £0!) to the new provider? Thanks in advance for any advice.

if you have a sort code and account number, why dont you just deposit a cheque at your local branch or do a BACS from your existing bank account?!

SPACON

DragonQ wrote: »

If you haven't deposited into it, you can just cut all ties with them and open a new ISA elsewhere.

Thanks for the feedback. This is what I'll do. Cheers.