Maturing Virgin Issue 10 but where to now?

Aidanmc

My Virgin Issue 10 Fixed ISA matures at end of January, trying to find somewhere suitable to transfer to.

Trading 212 - maybe put some there if i can get logged in to create a transfer request (waiting until after maturity first)

Chip/Plum - i dont use app only banks

Mansfield 4.75% - Seeming they only receive ISA transfers by cheque, may be delays resulting in loss of interest, anyone use this ISA wish to share their experience??

Other than that, 4.55% seems best rate even for Fixed ISA's

refluxer

Yes - it's a tricky one but with a couple of interest rate cuts still predicted for this year, I'm taking a gamble and opening fixed rate ISA accounts for transferring in any maturing fixed rate ISA cash that I don't need access to. I also don't like the various quirks and restrictions that those higher-paying (5%+) easy access cash ISA accounts come with personally, which means the fixed rate accounts I'm opening aren't actually paying that much less than the next-best-paying easy access accounts I would have otherwise considered anyway.

Do you live near a Mansfield branch ? As that account is branch or post-only, I can't imagine it would be a good option for easy access if not. Couple that with the need for paper-based transfers and you've got just-about one of the more awkward ISA accounts I can imagine !

Aidanmc

refluxer said:

Yes - it's a tricky one but with a couple of interest rate cuts still predicted for this year, I'm taking a gamble and opening fixed rate ISA accounts for transferring in any maturing fixed rate ISA cash that I don't need access to. I also don't like the various quirks and restrictions that those higher-paying (5%+) easy access cash ISA accounts come with personally, which means the fixed rate accounts I'm opening aren't actually paying that much less than the next-best-paying easy access accounts I would have otherwise considered anyway.

Do you live near a Mansfield branch ? As that account is branch or post-only, I can't imagine it would be a good option for easy access if not. Couple that with the need for paper-based transfers and you've got just-about one of the more awkward ISA accounts I can imagine !

No i'm not near a Mansfield branch at all.

I'm not so much concerned about easy access, but yes as this would be post only it could be difficult to transfer out again if needed especially they dont do electronic transfers.

Maybe i'll look into fixed ISA too.

VNX

refluxer said:

Yes - it's a tricky one but with a couple of interest rate cuts still predicted for this year, I'm taking a gamble and opening fixed rate ISA accounts for transferring in any maturing fixed rate ISA cash that I don't need access to. I also don't like the various quirks and restrictions that those higher-paying (5%+) easy access cash ISA accounts come with personally, which means the fixed rate accounts I'm opening aren't actually paying that much less than the next-best-paying easy access accounts I would have otherwise considered anyway.

Do you live near a Mansfield branch ? As that account is branch or post-only, I can't imagine it would be a good option for easy access if not. Couple that with the need for paper-based transfers and you've got just-about one of the more awkward ISA accounts I can imagine !

Same here, I’ll keep what I need in easy access but the rest I’m putting in 2/3 year fixes. Of course no one knows the future but for me, 4.38ish for the next 2/3 years I’m happy with 

refluxer

VNX said:

Same here, I’ll keep what I need in easy access but the rest I’m putting in 2/3 year fixes. Of course no one knows the future but for me, 4.38ish for the next 2/3 years I’m happy with 

I literally just opened a Shawbrook 3 year fixed rate cash ISA for a transfer at that exact rate this afternoon

Rather than getting too hung up on how that rate currently compares to the best easy access rate, I'm playing the long game by taking a step back and thinking more along the lines of the fact that 4.38% AER over 3 years gives an effect return of 4.57% PA (when interest is compounded) and if that's money you would have otherwise paid 20% tax on, that's equivalent to getting 5.72% PA in a non-ISA account... which starts to look a lot more impressive.

Fixing is always a gamble of course, but one big advantage that swung me towards a Shawbrook fix for this particular transfer was that if interest rates drop, I'll have the option to pay in the ISA allowance for the next 3 years at that same rate because they're one of the few ISA providers who allow this. (There's also the possibility of transferring-in in the future too, but this is at their discretion).

VNX

refluxer said:

VNX said:

Same here, I’ll keep what I need in easy access but the rest I’m putting in 2/3 year fixes. Of course no one knows the future but for me, 4.38ish for the next 2/3 years I’m happy with 

I literally just opened a Shawbrook 3 year fixed rate cash ISA for a transfer at that exact rate this afternoon

Rather than getting too hung up on how that rate currently compares to the best easy access rate, I'm playing the long game by taking a step back and thinking more along the lines of the fact that 4.38% AER over 3 years gives an effect return of 4.57% PA (when interest is compounded) and if that's money you would have otherwise paid 20% tax on, that's equivalent to getting 5.72% PA in a non-ISA account... which starts to look a lot more impressive.

Fixing is always a gamble of course, but one big advantage that swung me towards a Shawbrook fix for this particular transfer was that if interest rates drop, I'll have the option to pay in the ISA allowance for the next 3 years at that same rate because they're one of the few ISA providers who allow this. (There's also the possibility of transferring-in in the future too, but this is at their discretion).

I’ve just opened and transferred an isa with paragon that’s matured to a two year shawbrook isa 

impressive that transfer took just two days. 

I’ve got a lump sum in my Zopa easy access isa but they don’t allows partial withdrawals so I’m moving it all to the new Coventry easy access six withdrawals isa, then once that’s done half will go to a three year shawbrook isa fix and the other half can stay in Coventry. Or go back to Zopa.

as you say fixing can be a gamble but I’m happy with 4.38ish for 2/3 years, rates not predicted to fall fast but when they do fixes may reduce a little too. 

It’s funny it’s easy to get hung up on rates and little increases but once in a fix I find I switch off and not worry which I like 

It’s money I won’t need so monthly interest will be a nice income stream 

eskbanker

refluxer said:
I'm playing the long game by taking a step back and thinking more along the lines of the fact that 4.38% AER over 3 years gives an effect return of 4.57% PA (when interest is compounded) and if that's money you would have otherwise paid 20% tax on, that's equivalent to getting 5.72% PA in a non-ISA account... which starts to look a lot more impressive.

Surely AER is the most realistic basis on which to compare, as that's what it was designed for?  You could work backwards from your notional simple 5.72% PA in a non-ISA account to get the lower actual advertised AER on a CAGR basis I suppose, but it all seems a pointless exercise?

Aidanmc

Regarding Shawbrook fixed Isa's, is there a time limit to receive first deposit (transfer in)?

Can additional transfers in be done online ( without sending paper forms) after initial transfer?

refluxer

Aidanmc said:

Regarding Shawbrook fixed Isa's, is there a time limit to receive first deposit (transfer in)?

Weirdly, there's no mention of a deposit window in the account summary box that I can see but there will always be one for a fixed rate account. The longest time-frame for receiving a transfer-in request that I've come across with the ISAs I've opened in the past is 1 month. As for how far in advance of the maturity date of an existing fixed rate ISA you can request a transfer, I'm not sure. This is rarely specified in ISA T&Cs, in my experience.

Strictly speaking though, transfer-in requests to Shawbrook have to be submitted at the time of account opening and they do state that future transfer-in requests 'may be refused'. This clause is presumably there to give them the right to stop people transferring in huge balances in the future at previously-secured high rates, if interest rates drop dramatically in the meantime. Other forumites have been successful in transferring-in at a later stage though, anecdotally on here at least.

Aidanmc said:

Can additional transfers in be done online ( without sending paper forms) after initial transfer?

I'm not sure because I've never done this myself. I've just checked on the progress of my own transfer and, as there doesn't seem to be an obvious way to do this in online banking, I suspect it may need to be via secure message and/or a paper form. Personally though, I'm being cautious and looking on this as a bonus if I choose to do this in the future and it's then allowed, rather than banking on it as a certainty. I'm more interest in the ability to pay in new subscriptions from future tax years, as this does seem to be officially allowed according to the T&Cs...

"Please note that the Bank reserves the right to withdraw this product at any time. If the product is withdrawn, you can continue to put more money into your account until the expiry of the fixed term."

Note that Shawbrook are one of the ISA providers who still seem to be insistent that you can only hold new subscriptions in a cash ISA with them and no other provider, despite the ISA rule change that now allows this. This isn't an issue for me as I don't tend to split my subscriptions, but may be to some.

gele

I too have this Virgin ISA maturing at the end of Jan and have a question. I already have an 18 month fix with Shawbrook maturing in Feb 26. If I wanted to transfer the Virgin one into Shawbrook, would it  have to go into the fix I have now with them or would I be allowed to transfer it to a new one with them and therefore hold 2. Thought I would ask here first as unsure how long a reply would take messaging Shawbrook on a weekend. Thanks

Aidanmc

gele said:

I too have this Virgin ISA maturing at the end of Jan and have a question. I already have an 18 month fix with Shawbrook maturing in Feb 26. If I wanted to transfer the Virgin one into Shawbrook, would it  have to go into the fix I have now with them or would I be allowed to transfer it to a new one with them and therefore hold 2. Thought I would ask here first as unsure how long a reply would take messaging Shawbrook on a weekend. Thanks

They may accept a transfer into the 18 month fixed you already have but they may also refuse,  wait for their reply.

What is the interest rate on the 18m fix?

You can definitely open another fixed rate ISA with them and transfer the maturing Virgin ISA to that. As i understand, transfer requests are made at time of application, just be sure to select 'wait until maturity' if applying before Virgin ISA matures.