NS & I Index Linked Savings Certificate (renew or not ?)

ElSteverino

Is the ILSC worth renewing for 5 years (with no access allowed during the term) or cashing in and putting in a Savings Bond with Monthly Interest and access allowed ?

I'm retired due to an injury and living off the interest earned on various savings bonds and a pension.

Any advice would be appreciated. Thanks

eskbanker

It really comes down to your personal circumstances, and in particular how comfortable you are with locking the money away inaccessibly for five years - if this works for you then ILSC renewal is likely to be worthwhile, given the indexation and tax-free status, but if you feel you might need access then don't renew…

Albermarle

Similar recent thread

NS&I 5 Year Index Linked Savings Certs vs Cash ISA over 5 years? — MoneySavingExpert Forum

Enzo_L

https://forums.moneysavingexpert.com/discussion/comment/82037156#Comment_82037156

Money in Index Linked Savings Certificates which you renew is completely inaccessible after the first 30 day cooling off period.

There is no "premature access" allowed, with or without "financial penalties" now. That's why people like me have stopped renewing them.

eskbanker

https://forums.moneysavingexpert.com/discussion/comment/82037208#Comment_82037208

Doh! That's what I originally thought, but doubted myself and went to check, where I skim-read a page and managed to miss that important distinction when (wrongly) editing, even though it's also why I stopped renewing them!

Stubod

This question comes up a lot, particularly now there is no longer the option to withdraw money before the end of the term. It depends so much on your personal circumstances, but now we are older we have been taking some money out, then renewing the remainder for the shortest, (3 year) term…

Slinky

We ran out of time to make a decision before ours auto renewed. I was hoping to take advantage of the 30 days cooling off to change to a 3 year term, but the only option available after the rollover was stick with 5 years or close the bond, so we've let it roll for another 5 years.

ElSteverino

Thanks very much, fellow Forum contributors. I will probably cash it in.