Top Cash ISAs Discussion Area

Stampede_2

By chance (today) Thursday 4th June 2009 our local Nationwide B/Soc said that from close of business on 4th. their current 12months fixed cash ISA rate will drop, for new business, from 3.00% down to 2.45% whilst the % on longer fixed terms will be increasing to .. ?? . If you want Nwide and were going to use them, every thing else being equal, better now than tomorrow.Seems they might be wanting to tie up new money on what might appear a more attractive rate for longer periods .. but do they know something we dont and that rates will be rising.

Also there will be some new ISA products appearing with them on 14th / 15th June 2009, precise details they didn't know or wouldn't say but seems like a mix of guaranteed capital, min of 3.00% and possible higher returns but lock in periods etc. not announced so perhaps one to keep in mind. Found out you can get 3% and even a bit more, by transfering to the likes of Halifax & others.

Stress this is only my personal findings, not financial advice about what you should or shouldn't do.

:j totally debt free with a bit spare in case the roof wants repairing !

Baldur

Stampede wrote: »

By chance (today) Thursday 4th June 2009 our local Nationwide B/Soc said that from close of business on 4th. their current 12months fixed cash ISA rate will drop, for new business, from 3.00% down to 2.45% whilst the % on longer fixed terms will be increasing to .. ?? . If you want Nwide and were going to use them, every thing else being equal, better now than tomorrow.Seems they might be wanting to tie up new money on what might appear a more attractive rate for longer periods .. but do they know something we dont and that rates will be rising.

Also there will be some new ISA products appearing with them on 14th / 15th June 2009, precise details they didn't know or wouldn't say but seems like a mix of guaranteed capital, min of 3.00% and possible higher returns but lock in periods etc. not announced so perhaps one to keep in mind.

Reported on eMoneyfacts - https://www.emoneyfacts.co.uk/news/savings-news.aspx?newsarticleid=186315

purplestar133

I've posted this in another thread, but realised I should have posted it here. So, I'm sorry if you've read this before!

Just trying to work out whether to transfer to Northern Rock 1yr Fixed Rate ISA (3.25%) or Kent Reliance 1yr fixed rate (3.2%) ...

I've got a fixed rate with Nationwide due to mature on 10th June, so it's the 'rate fixed until 15th june 2010' bit on the Northern Rock one that's throwing me.

Presumably, once the transfer goes through, 15th June will have passed, so I will have a fixed rate for less than a year. But does the period where I would have a variable rate on the Northern Rock ISA justify going with Kent Reliance instead and taking 0.05% less interest but having it fixed for a year?

(It may also be worth mentioning that I already have a fixed rate isa with Kent Reliance.)

Can anybody help me do the maths?

Baldur

purplestar133 wrote: »

I've got a fixed rate with Nationwide due to mature on 10th June, so it's the 'rate fixed until 15th june 2010' bit on the Northern Rock one that's throwing me.

Presumably, once the transfer goes through, 15th June will have passed, so I will have a fixed rate for less than a year. But does the period where I would have a variable rate on the Northern Rock ISA justify going with Kent Reliance instead and taking 0.05% less interest but having it fixed for a year?

(It may also be worth mentioning that I already have a fixed rate isa with Kent Reliance.)

Can anybody help me do the maths?

You are making things more difficult for yourself by including an intangible in your calculation (a guessed at 'variable rate' period with NR).

If both ISAs ran for a full year the NR one would only pay you £5 extra on £10,000 transferred - hardly worth prevaricating about is it?

purplestar133

Thanks Baldur.

I know that Kent Reliance direct fixed rate one year ISAs allow additional deposits throughout the year. Do they allow additional transfers in?

I opened mine (issue 2) with a transfer in January and have been paying this years allowance in gradually. It just occurred to me that I could transfer the balance from my Nationwide fixed rate ISA when it matures into the issue 2 KR FRISA (which is at 4.5%) and then I don't have to open another FRISA with KR or Northern Rock.

All my ISAs, including this year's allowance would then be in one FRISA, which would mature in January 2010. Can anyone anticipate any problem with this? I know no-one has a crystal ball but...has anyone heard whether rates are likely to be a bit better or a bit worse by Jan 2010?

By the way, thanks for your help everyone. It helps to lay thoughts out in black and white in front of me like this and is reassuring to just run it past other people before making decisions!

Baldur

purplestar133 wrote: »

I know that Kent Reliance direct fixed rate one year ISAs allow additional deposits throughout the year. Do they allow additional transfers in?

I opened mine (issue 2) with a transfer in January and have been paying this years allowance in gradually. It just occurred to me that I could transfer the balance from my Nationwide fixed rate ISA when it matures into the issue 2 KR FRISA (which is at 4.5%) and then I don't have to open another FRISA with KR or Northern Rock.

You would need to check the Terms & Conditions that apply to your particular FRISA issue and/or check with KRBS.

luckyden

I see that Investec have a guaranteed FTSE100 plan at 6%. iS THIS A GOOD SAFE DEAL??

leaphaze

luckyden wrote: »

I see that Investec have a guaranteed FTSE100 plan at 6%. iS THIS A GOOD SAFE DEAL??

What are the details?

FTSE100 has risen by 25% over the last 3 months. Can't help thinking Investec will be making much more out of this than you will.

luckyden

i assume they will make loads - they are a bank when all said and done

luckyden

sorry the link

fairinvestment.co.uk/Investec_Guaranteed_FTSE_100_Income_Plan