One or two year fixed ISA?

anotherquestion

Hi there folks,

Hope everyone is doing good, I have an ISA that is due to mature soon and can get a one year at 4% or a two year fixed at 3.8%, so just wondering what to go for?

What is the general consensus about interest rates at the moment though I do realise no one has a crystal ball?

I do tend to stick with the big name banks, and can get the above rates with the same provider I am with at the moment, so probably not as long to wait for the new ISA to become active.

Many thanks

Ocelot

I always have 3 year ISAs, but there are better rates than the ones you describe

https://www.moneysavingexpert.com/savings/best-cash-isa/

mebu60

The general consensus is that rates are on a downward trend. Probably another 25bps on Thursday. 

Hedge your bets and put 50% in each if you can't decide.

anotherquestion

Thanks for replies, well the ISA's I had in mind are not suitable (I have since found out) since they only allow to 19 august to fund, and existing ISA matures in early Sept.

Thanks for link to best rates from this site, Has anyone any qualms about putting money in places like Paragon or Cynergy or other lessor known banks as long as the are covered by the FSCS?

Thanks.

mebu60

anotherquestion said:

Thanks for replies, well the ISA's I had in mind are not suitable (I have since found out) since they only allow to 19 august to fund, and existing ISA matures in early Sept.

Thanks for link to best rates from this site, Has anyone any qualms about putting money in places like Paragon or Cynergy or other lessor known banks as long as the are covered by the FSCS?

Thanks.

No qualms with either of those institutions. I have a cash ISA with Paragon and other investments with Cynergy. And a much documented recent thread on not initially getting a timely and correct bond maturity out of the latter. 

Ocelot

Haven't used Cynergy, but no issues with Paragon. Have been with them since circa 2017.

Malchester

Just in the process of transferring to a 2 year fix with Newcastle Building Society at 4%. They also have 18 months at 4.10% and also a 5 year.Not the best rates but I have found them OK

poseidon1

anotherquestion said:

Thanks for replies, well the ISA's I had in mind are not suitable (I have since found out) since they only allow to 19 august to fund, and existing ISA matures in early Sept.

Thanks for link to best rates from this site, Has anyone any qualms about putting money in places like Paragon or Cynergy or other lessor known banks as long as the are covered by the FSCS?

Thanks.

No issues at all with Paragon. Indeed, since they are a FTSE listed business I went so far as to  purchase a  large tranche of their non FSCS protected loan note which ran 7 years without any mishaps. 

Would do so again if the opportunity presented itself, so you can have very high confidence in  their FSCS protected cash ISA which also happens to be one of the rare flexible cash ISAs on the market.

2010

Paragon has a 15 month @ 4.28% and I think a 28 day funding period, may be even longer if transfer requested at time of opening.

anotherquestion

Thanks for replies, I have decided to go with YBS, but not sure if my ISA transfer will be accepted (though they have said it will)

What I see might be the problem is, I have opened the account on the sixth of august with YBS and my RBS ISA is due to mature on the 5 Sept.

I have put in the request to YBS to transfer at maturity, and though YBS have said that should be ok, I just have this inkling that someway down the line, they will say that the funds reaching the account are outside the 30 window to fund the account.

To try to be on the safer side I actually opened another identical account with YBS yesterday 7 august, so will see how things ago, might ring and ask to get speaking to the dedicated ISA team at YBS if they have one.