Top Cash ISAs Discussion Area

cookieyum

Very useful many thanks

innovate

You can use this calculator to figure out drip-feeding scenarios, Though it isn't clever enough to work with one tax-free and one taxable account - - what you will have to do is use "No tax", and an interest rate reduced by 20% for the feeder account. I.e. if your feeder account pays 3% AER, use 3 * 80% = 2.4% as the interest rate for the feeder account.

http://www.moneysavingexpert.com/savings/best-regular-savings-accounts#calculator

malc_b

I trust MSE monitor this thread. Can I suggest that the best buy ISA instant access include at least one that accepts transfers. And how about a campaign to change the ISA rules so that all ISAs must accept transfers?

Martin, it's all very well banging on during your program about how everyone should get an ISA each year but what happens when no bank accepts transfers or only transfers to useless rate ISAs? Best instant access at the moment is the 123 account at 3%, 2.4% after tax. Best (or is it?) instant access ISA with transfers is santander at 2%. So I lose 0.4% keeping the ISA wrapper. Or I try it up.

OK I could go for the 123 ISA at 3% fixed for 2yrs and hope I don't need the money. If I take it out after 1yr I'd lose 120 days interest so I'd get 2.1% So a year is the break even and even then that is less than outside the ISA.

KTF

malc_b wrote: »

And how about a campaign to change the ISA rules so that all ISAs must accept transfers?

Why should all ISAs allow transfers in?

ejv

malc_b wrote: »

Best instant access at the moment is the 123 account at 3%, 2.4% after tax. Best (or is it?) instant access ISA with transfers is santander at 2%. So I lose 0.4% keeping the ISA wrapper

You may consider leaving your money in 123 current account till the end of this FA and transfer it to ISA before 5/4/2014.
However, what I understand is, the 123 gives 1% for first £1000 ie £10 per year;2% for £1001-3000(ie £40) and 3% for anything over this(ie £83 for £2760):huh:.This adds to £133 as opposed to £115 for the 2% Santander ISA.(hope other financial wizards in this forum correct me if I got this wrong:o)

I've applied for Coventry 2.6% which fetches £150.

rb10

malc_b wrote: »

And how about a campaign to change the ISA rules so that all ISAs must accept transfers?

That would just result in the top ISA rates falling further.

innovate

rb10 wrote: »

That would just result in the top ISA rates falling further.

Or some provider not offering any cash ISAs at all.

(Though then there will be suggestions like: campaign that all banks/BSs must provide cash ISAs, with interest rates of at least x.xx%.................lol)

marathonic

I think that the higher rates for accounts that don't accept transfers in are a good idea - they have the potential to bag a customer for a low cost from the banks perspective and, from the savers perspective, are more likely to result in people starting to save for their future anyway.

The_Enforcer

ejv wrote: »

However, what I understand is, the 123 gives 1% for first £1000 ie £10 per year;2% for £1001-3000(ie £40) and 3% for anything over this(ie £83 for £2760):huh:.This adds to £133 as opposed to £115 for the 2% Santander ISA.(hope other financial wizards in this forum correct me if I got this wrong:o)

You'll have to recalculate I'm afraid:
"In-credit interest: 1% AER for balances over £1k, 2% over £2k, 3% for between £3k-£20k"
but the point holds that keeping £3k+ in there is a reasonable alternative to putting that money in an ISA in the short-term.

rossk26

Hello,

Looking for some advice on where is best to put my money...

I currently bank with Halifax and First Direct. So get £5 a month from Halifax and will also be getting £100 from FD for joining them.

My ISA is with GE Capital Direct (2.25%) I put in £2k during 2012/13, so still have my full allowance for 2013/14. Should I transfer this or stay? I want to add my allowance for this year, but at a rate of £480 per month, as I don't have the lump sum now...

I also have a regular savings account with First Direct (6%), which I pay £300 a month into.