Fixed rate Cash Isa
Me72
Forumite Posts: 11
Forumite
Hello.
Opened a Fixed interest Cash Isa in April. Is it possible to transfer to another Isa, with better rate, or will I lose interest doing that ?
Opened a Fixed interest Cash Isa in April. Is it possible to transfer to another Isa, with better rate, or will I lose interest doing that ?
0
Comments

Which isa did you take out ?.Read the T&C.Virgin are 60, 90, 120 days interest penalty.Easy sum, 10k @ 5% = £500 interest / 365 X penalty days ie 60, 90, 120 or more.There is a calculator on MSE, but I like to do the working out myself.1

Me72 said:Hello.
Opened a Fixed interest Cash Isa in April. Is it possible to transfer to another Isa, with better rate, or will I lose interest doing that ?
https://www.moneysavingexpert.com/savings/isaswitchcalc/
'Compound interest is the eighth wonder of the world. He who understands it, earns it; he who doesn’t, pays it'  Albert Einstein.2 
Interesting question  I did a Shawbrook in April at 4.06%.....now Shawbrook offering 5.71% on a Fixed 1 year......throwing round numbers looks like it would be £200 early exit fee......the difference in interest is around £330, so a gain of £130.....
Would it be just a matter of opening a new account and then doing the transfer  paying the exit fee and its fixed for another year?
I also have a Shawbrook 1 year fixed from last tax year (opened late in the tax year)  wonder whether it's worth transferring that at the same time to the higher rate  again penalty would "around" £200The Forum Member formally known as Pieman1972 (but failed to sort his account out!!)0 
Would it be just a matter of opening a new account and then doing the transfer  paying the exit fee and its fixed for another year?
Yes,
If you ( and the OP) scroll through the forum you will see a lot of similar questions and answers, so you can get fully up to speed on ISA transfers.
2 
NewPieman said:Interesting question  I did a Shawbrook in April at 4.06%.....now Shawbrook offering 5.71% on a Fixed 1 year......throwing round numbers looks like it would be £200 early exit fee......the difference in interest is around £330, so a gain of £130.....
Would it be just a matter of opening a new account and then doing the transfer  paying the exit fee and its fixed for another year?
I also have a Shawbrook 1 year fixed from last tax year (opened late in the tax year)  wonder whether it's worth transferring that at the same time to the higher rate  again penalty would "around" £200'Compound interest is the eighth wonder of the world. He who understands it, earns it; he who doesn’t, pays it'  Albert Einstein.1 
NewPieman said:Interesting question  I did a Shawbrook in April at 4.06%.....now Shawbrook offering 5.71% on a Fixed 1 year......throwing round numbers looks like it would be £200 early exit fee......the difference in interest is around £330, so a gain of £130.....
Would it be just a matter of opening a new account and then doing the transfer  paying the exit fee and its fixed for another year?
I also have a Shawbrook 1 year fixed from last tax year (opened late in the tax year)  wonder whether it's worth transferring that at the same time to the higher rate  again penalty would "around" £200
0 
NewPieman said:Interesting question  I did a Shawbrook in April at 4.06%.....now Shawbrook offering 5.71% on a Fixed 1 year......throwing round numbers looks like it would be £200 early exit fee......the difference in interest is around £330, so a gain of £130.....
Would it be just a matter of opening a new account and then doing the transfer  paying the exit fee and its fixed for another year?
I also have a Shawbrook 1 year fixed from last tax year (opened late in the tax year)  wonder whether it's worth transferring that at the same time to the higher rate  again penalty would "around" £200Obviously you then have the 4 months afterwards at the higher rate but whether that is a positive depends on whether or not you think there are going to be better rates available next April when your initial 4.06% would mature1 
just so I can get this straight in my own head, I am in a similar position of taken out a 1Yr ISA with Shawbrook @ 4.21% at the start of May  so it has still 9 months to run.their latest rate is 5.71%, so using the above calculator, if I were to switch the penalty would be £209  which is more or less the interest i've already earned in the last 3 months.the MSE calculator seems to assume that the current end date doesn't change and tells me i'd be £15 better off  but I assume in reality that a new 1Yr ISA with them would run AugAug and so the correct figure would be around £90... is my thinking correct about the end date changing ?0

janusdesign said:just so I can get this straight in my own head, I am in a similar position of taken out a 1Yr ISA with Shawbrook @ 4.21% at the start of May  so it has still 9 months to run.their latest rate is 5.71%, so using the above calculator, if I were to switch the penalty would be £209  which is more or less the interest i've already earned in the last 3 months.the MSE calculator seems to assume that the current end date doesn't change and tells me i'd be £15 better off  but I assume in reality that a new 1Yr ISA with them would run AugAug and so the correct figure would be around £90... is my thinking correct about the end date changing ?Yeah, cheers but nah, I will stick with yes, thank you and no.
Thank you.1
Categories
 All Categories
 338.9K Banking & Borrowing
 248.6K Reduce Debt & Boost Income
 447.6K Spending & Discounts
 230.8K Work, Benefits & Business
 600.9K Mortgages, Homes & Bills
 171.1K Life & Family
 244K Travel & Transport
 1.5M Hobbies & Leisure
 15.9K Discuss & Feedback
 15.1K Coronavirus Support Boards