Top Cash ISAs Discussion Area

Jemima62

Marvellous - Thank you!

leaphaze

Hi stinky,

Generally you find it's better to put your money in ISAs but at the moment interest rates are so low that even a minor effort by an institution to bring in more funds by raising their rates will cause the sort of inconsistencies your refer to where the highest non-tax efficient rates are actually better value (after tax) than the highest tax efficient rates.

However, usually with these specials offers, a little care and attention is required. Lokolo has already mentioned this as far as a cap is concerned, but there may be other restrictions are well which require planning. So, for instance, my Alliance & Leicester current a/c pays 6% before tax, but only on the first £2,500, and only if I transfer £500 in per month. Consequently if my balance gets anywhere near £2,500 I would have to transfer £500 out then transfer it back in again. If you're not prepared to do this or fear you may forget, stick to the straight forward a/cs. So rates are not everything.

What would I do? In fact I do have an A&L current a/c but my balance is way below the limit. I've just opened a Halifax Reward current a/c, where the interest rate is 0%, but Halifax pay you £5 per month if you pay in £1000 (or more). Transferring £1000 from A&L to Halifax then back again satisfies the terms of both accounts, earns £5 per month from Halifax, earns 6% from A&L apart from the 6 days per month my £1000 was in limbo between A&L & Halifax.

Earning £5 from 6 days usage of £1000 is a great rate. But couldn't tell you what it is!

Niemand

I would like someone to clarify something for me.

My wife and I have a Cash ISA each and we want to put our allowance into two new ones this year offering better rates.

We thought we'd look at the Fixed Rate ISAs. Martin recommends Nationwide and Halifax. However, when I look at the conditions I see that I can make only one deposit - andhat's it. I can't top up. Normally that would be fine, because I'd put the £3,600 into the account and that's that.

As you all know, I expect, the allowance for over 50s is going up in October to £5,100. But the aforementioned conditions mean that I would not be able to top up with the extra £1,500 in October.

Is my understanding correct on this?

leaphaze

Niemand wrote: »

We thought we'd look at the Fixed Rate ISAs. Martin recommends Nationwide and Halifax. However, when I look at the conditions I see that I can make only one deposit - andhat's it. I can't top up. Normally that would be fine, because I'd put the £3,600 into the account and that's that.

As you all know, I expect, the allowance for over 50s is going up in October to £5,100. But the aforementioned conditions mean that I would not be able to top up with the extra £1,500 in October.

Is my understanding correct on this?

Yes.:mad:

It's a pain isn't it.

leaphaze

leaphaze wrote: »

What would I do? In fact I do have an A&L current a/c but my balance is way below the limit. I've just opened a Halifax Reward current a/c, where the interest rate is 0%, but Halifax pay you £5 per month if you pay in £1000 (or more). Transferring £1000 from A&L to Halifax then back again satisfies the terms of both accounts, earns £5 per month from Halifax, earns 6% from A&L apart from the 6 days per month my £1000 was in limbo between A&L & Halifax.

Earning £5 from 6 days usage of £1000 is a great rate. But couldn't tell you what it is!

Just started doing this and realised that A&L & Halifax have both fully implemented the Faster Payments Service so instead of three days it takes 2 hours to transfer money between them. Even better.:j

blueberrypie

leaphaze wrote: »

Just started doing this and realised that A&L & Halifax have both fully implemented the Faster Payments Service so instead of three days it takes 2 hours to transfer money between them. Even better.:j

Unless A&L have changed their policy very recently, their FP limit is £250 - this appears to be per account per day. If you send £1000 it will go by BACS. Halifax also has a limit, but it is higher, and they do tell you beforehand whether your transfer will be FP or BACS. A&L do not tell you.

the_i_dont_kno_woman

TAX FREE SAVINGS HELP

hi all

ive gooy 9k in savings currently split between a cash isa 3k and and members bond 6k. i want to reinvest it taxfree if possible. im prepared to tie up the 6k for a one to two years if i can get it tax free but the 3k i would like to have access to in case of any emergencies.
does anyone know what the best tax free deals are to suit this?
would it be better to put it into a regular saver?
what would earn more interest an account that pays interest monthly or yearly?

need an answer asap as at the moment im not earning anythin on it so i want to sort it soon

fatpiggy

I paid £100 into my Abbey easy access cash ISA on Friday and discovered that my interest rate is an incredibly paltry 0.1% !!!! Obviously I need to do ALOT better than that. I have about £600 in it in total, and don't save regularly, just stick birthday and Christmas money in. I may be able to save a little regularly though. Any suggestions where I should transfer to, anyone please?

Lokolo

fatpiggy wrote: »

I paid £100 into my Abbey easy access cash ISA on Friday and discovered that my interest rate is an incredibly paltry 0.1% !!!! Obviously I need to do ALOT better than that. I have about £600 in it in total, and don't save regularly, just stick birthday and Christmas money in. I may be able to save a little regularly though. Any suggestions where I should transfer to, anyone please?

http://forums.moneysavingexpert.com/showpost.html?p=4603369&postcount=1

There is a list of the top ISAs.

Your best bet is to go for Intelligent Finance ISA at 2.75%. They accept transfers in. Have an ok rate, but you will want to keep an eye on it as in a years time its likely to be 0.1%.

fullstop

Niemand wrote: »

I would like someone to clarify something for me.

My wife and I have a Cash ISA each and we want to put our allowance into two new ones this year offering better rates.

We thought we'd look at the Fixed Rate ISAs. Martin recommends Nationwide and Halifax. However, when I look at the conditions I see that I can make only one deposit - andhat's it. I can't top up. Normally that would be fine, because I'd put the £3,600 into the account and that's that.

As you all know, I expect, the allowance for over 50s is going up in October to £5,100. But the aforementioned conditions mean that I would not be able to top up with the extra £1,500 in October.

Is my understanding correct on this?

I have just down loaded an application form from Julian Hodge Bank for a cash ISA fixed for 1 year at 3.15%,
while it was printing I rang up and asked if I can deposit the extra £1500 in October and was told yes.

You need to deposit the full £3600 to open an account.