More than a year ...?

bucksman

I'm a little late investing my ISA funds this year. Hoping to invest the full £20k.  What are your views on fixed cash ISA longer than a year - there are some good 2 year fixes out there - who has a crystal ball and has a view on this? 

El_Torro

All signs point to interest rates coming down in the coming months. If you don't need the money within the next 2 years and you don't want to put the money in a Stocks & Shares ISA then I would say that fixing for 2 years isn't a bad option right now. 

Of course that's just what my crystal ball tells me. We all have crystal balls, very few of them are accurate 

Albermarle

El_Torro said:

All signs point to interest rates coming down in the coming months. If you don't need the money within the next 2 years and you don't want to put the money in a Stocks & Shares ISA then I would say that fixing for 2 years isn't a bad option right now. 

Of course that's just what my crystal ball tells me. We all have crystal balls, very few of them are accurate 

I have been fixing my savings accounts for the last 18 months now, based on the premise of falling interest rates ( and buying gilts) . However so far interest rates have remained stubbornly stable !
Maybe a new crystal ball needed.....

Alexland

It seems to be more in the central banks' interests to indicate that rates will come down than actually doing it.

bucksman

With the election coming I do wonder if the interest rates are now going to stay put for the time being.  If the BofE adjust them it will be used as a media piece by one of the political parties. The statusquo for the time being maybe?

Alexland

bucksman said:

With the election coming I do wonder if the interest rates are now going to stay put for the time being.  If the BofE adjust them it will be used as a media piece by one of the political parties. The statusquo for the time being maybe?

Interest rates tend to be a global event these days.

One central bank changing rates puts pressure via exchange rates on the others to follow.