Flexible cash ISA with fast access and consistency

Plus

I'd like to set up a flexible cash ISA to maintain my ISA allowance while I put money in an offset mortgage.  The general idea is that I transfer existing ISAs to the flexible ISA, from where I withdraw it to pay into the mortgage.  Just before 5th April I move the offset balance from the mortgage back into the ISA, wait until the clock strikes midnight, and on 6th move it back again. Many years ISA allowance thus preserved.

The question next is: whose ISA should I do this with?

First of all, it must be a flexible ISA that accepts transfers in.

Next, it needs to be happy about swiftly moving around big chunks of money, eg so I can do that online on an Easter Bank Holiday, not having to call them up to move >£10K.  If there's a current account available at the same bank then that might make things easier.  Going to the same bank as the mortgage might make sense, but I don't know who this is yet.

Also, it would be nice if they had a consistent product.  I don't want to be in some 'Issue 42' account that has had the rate wound down to nothing, because I won't be able to transfer out once this is set up (to transfer, I'd need to pull the money out of the mortgage for the duration of the transfer period, which could be weeks).  While rate isn't a primary consideration, it's not nothing eg if the ISA pays 4% then that's £10 per £100K for every day that the money sits in the ISA.

So who has an 'easy to use' flexible ISA product?

r6mile

I find Coventry very good - their ISAs are flexible and they are consistent with their rate increases. However the ISA account only allows 6 withdrawals per year - sounds like this is fine for you but worth mentioning. Withdrawals are next working day in my experience

Plus

r6mile said:

I find Coventry very good - their ISAs are flexible and they are consistent with their rate increases. However the ISA account only allows 6 withdrawals per year - sounds like this is fine for you but worth mentioning. Withdrawals are next working day in my experience

I see they seem to have a lot of 'Issue 42' accounts.  What happens if you want to switch to a new issue?  Is that just a case of calling them and they switch your rate, or do you have to formally open a new account and transfer?  The problem with the latter is it may not maintain a flexible ISA allowance (if your remaining annual allowance is £20K and withdraw £100K with the plan of returning it later, you want the new allowance to be £120K)

grumbler

Virgin flexible ISA offers slightly lower interest rate (4.25%), but comes with a current account available.
Regarding consistensy, it was at the top about a year ago.

xylophone

https://www.moneysavingexpert.com/savings/flexible-isas/

Check providers.

Check withdrawal times.

Virgin flexible ISA offers slightly lower interest rate (4.25%), but comes with a current account available.

Yes - probably easy and quick to transfer from ISA to the current account but is there a daily limit on amount transferred out of current account?

https://uk.virginmoney.com/current-accounts/making-payments/

Plus

xylophone said:

Virgin flexible ISA offers slightly lower interest rate (4.25%), but comes with a current account available.

Yes - probably easy and quick to transfer from ISA to the current account but is there a daily limit on amount transferred out of current account?

https://uk.virginmoney.com/current-accounts/making-payments/

As it happens I have one of those already - looking for a second option to avoid busting the £85K limit.  But good point about the current account transfer limits, I hadn't thought about that.  (I seem to be able to be able to do arbitrary transfers directly out of the Virgin ISA to other banks, which is unusual.  I haven't checked what the limit is for that)

jimjames

grumbler said:

Virgin flexible ISA offers slightly lower interest rate (4.25%), but comes with a current account available.
Regarding consistensy, it was at the top about a year ago.

I find the Virgin ISA very easy to use and for transfer in/out

plunt

problem with virgin is i cant seem to see anywhere that it tracks how much you have used up or paid back in to it, so end up having the manually calc it The best by far is nationwide for tracking purposes as it splits out this years contribution and prior years, how much can be paid back in, etc. Only problem is the terrible rates! 

aaj123

plunt said:

problem with virgin is i cant seem to see anywhere that it tracks how much you have used up or paid back in to it, so end up having the manually calc it The best by far is nationwide for tracking purposes as it splits out this years contribution and prior years, how much can be paid back in, etc. Only problem is the terrible rates! 

Principality also pretty good at making clear how much of prev money and new money can be paid in. 

GeorgeDawes_2

Did you find one? I've been happily using Tesco instant access flexible cash ISA. 

jimjames

plunt said:

problem with virgin is i cant seem to see anywhere that it tracks how much you have used up or paid back in to it, so end up having the manually calc it The best by far is nationwide for tracking purposes as it splits out this years contribution and prior years, how much can be paid back in, etc. Only problem is the terrible rates! 

I've found exactly the same thing with Virgin. Very unclear and needs to manually work out the balance last April plus interest to work out total. My S&S ISA with iWeb is much easier as a single figure is shown for remaining allowance.