Are there any 3 or 5 year fixed rate cash isas that allow you to put in new money each new tax year?

taff27 · 22 March at 11:50AM

I've been looking at the possibility of opening either a 3 or 5 year fixed rate cash and wondered whether it's possible to have an account where if finances permit, I could pay in my annual allownance each April to take advantage of the fixed rate (not transferring in). All the providers I've looked at seem to restrict deposits to a 14 day period in the first year and then nothing after this date, therefore restrict any further deposits.

Stolas · 22 March at 12:03PM

Have you looked at Shawbrook and Kent Reliance? Both let you pay in new money each tax year (unless their rules have changed recently). With Shawbrook I’ve previously been able to successfully transfer a maturing 1year Shawbrook ISA, into a new 2 year Shawbrook ISA (check the ts&cs as this may be at their discretion).

Ocelot · 22 March at 12:11PM

I'm not aware of any providers who would let you open a 3 or 5 year fixed rate ISA and let you contribute each year at the same rate as when you opened the ISA.

If there are any I would be interested in knowing myself!

steveksullivan · 22 March at 12:26PM

Stolas said:

Have you looked at Shawbrook and Kent Reliance? Both let you pay in new money each tax year (unless their rules have changed recently). With Shawbrook I’ve previously been able to successfully transfer a maturing 1year Shawbrook ISA, into a new 2 year Shawbrook ISA (check the ts&cs as this may be at their discretion).

As we recently discussed in another post, Shawbrook now seem to be sticking to their Ts and Cs which state that ISA TRANSFERS have to be requested at account opening - and also confirmed in writing to me that the maturing ISA had to be within 30 days .......

Stolas · 22 March at 12:32PM

steveksullivan said:

Stolas said:

Have you looked at Shawbrook and Kent Reliance? Both let you pay in new money each tax year (unless their rules have changed recently). With Shawbrook I’ve previously been able to successfully transfer a maturing 1year Shawbrook ISA, into a new 2 year Shawbrook ISA (check the ts&cs as this may be at their discretion).

As we recently discussed in another post, Shawbrook now seem to be sticking to their Ts and Cs which state that ISA TRANSFERS have to be requested at account opening - and also confirmed in writing to me that the maturing ISA had to be within 30 days .......

Oh, how recently was this? I may have been lucky. They told me over the phone that this was for ISAs with other providers, and when my Shawbrook 1Y ISA matured on Feb 5th, I sent them a secure message to transfer it to my existing Shawbrook 2Y ISA, which they went ahead with.

soulsaver · 22 March at 1:39PM

Stolas said:

steveksullivan said:

Stolas said:

Have you looked at Shawbrook and Kent Reliance? Both let you pay in new money each tax year (unless their rules have changed recently). With Shawbrook I’ve previously been able to successfully transfer a maturing 1year Shawbrook ISA, into a new 2 year Shawbrook ISA (check the ts&cs as this may be at their discretion).

As we recently discussed in another post, Shawbrook now seem to be sticking to their Ts and Cs which state that ISA TRANSFERS have to be requested at account opening - and also confirmed in writing to me that the maturing ISA had to be within 30 days .......

Oh, how recently was this? I may have been lucky. They told me over the phone that this was for ISAs with other providers, and when my Shawbrook 1Y ISA matured on Feb 5th, I sent them a secure message to transfer it to my existing Shawbrook 2Y ISA, which they went ahead with.

It was 'a new 2Y ISA' in you previous post.

.

Stolas · 22 March at 2:04PM

soulsaver said:

Stolas said:

steveksullivan said:

Stolas said:

Have you looked at Shawbrook and Kent Reliance? Both let you pay in new money each tax year (unless their rules have changed recently). With Shawbrook I’ve previously been able to successfully transfer a maturing 1year Shawbrook ISA, into a new 2 year Shawbrook ISA (check the ts&cs as this may be at their discretion).

As we recently discussed in another post, Shawbrook now seem to be sticking to their Ts and Cs which state that ISA TRANSFERS have to be requested at account opening - and also confirmed in writing to me that the maturing ISA had to be within 30 days .......

Oh, how recently was this? I may have been lucky. They told me over the phone that this was for ISAs with other providers, and when my Shawbrook 1Y ISA matured on Feb 5th, I sent them a secure message to transfer it to my existing Shawbrook 2Y ISA, which they went ahead with.

It was 'a new 2Y ISA' in you previous post.

.

Ah my mistake. Sorry for any confusion.

zagfles · 22 March at 2:19PM

Why would any provider offer that? If interest rates fall it'd give you the opportunity to invest at a higher rate than the prevailing market. If interest rates rise you wouldn't invest, as you could open a new one at a higher rate. Why would any provider offer you a no lose gamble?

Albermarle · 22 March at 2:36PM

zagfles said:

Why would any provider offer that? If interest rates fall it'd give you the opportunity to invest at a higher rate than the prevailing market. If interest rates rise you wouldn't invest, as you could open a new one at a higher rate. Why would any provider offer you a no lose gamble?

Well Shawbrook certainly do.
During the initial funding window, you can add new money and/or transfer in another ISA.
After that you can add new money at any time during the fixed term, subject to the normal ISA limits.
I double checked with them as some of the wording is a bit ambiguous and had it confirmed, and many other posters in other threads have confirmed it. In fact at one point I added more to my 3 year ISA months after first opening it, so it does work.
I agree it is a bit surprising they offer this facility, but I guess their potential liability is limited by the ISA annual limits.
Transfers in after the initial opening are strictly at their discretion, which protects them from a potential wall of money arriving if rates drop.