Better to move savings from a Cash ISA for this Lloyds offer?

Miss_Sharon

Hi all,

Lloyds have offered a £75 bonus if I open a savings a/c at 3% AER with £2001 for 6 months. To do it, I'd move money from a flexible Cash ISA at 4.19%. I'm a basic rate tax payer but am within the £5K interest allowance. Is this something I should consider? (My mind is muddled with the math.)

Many thanks. :)

Sherlock33

In the flexible cash ISA, £2001 at 4.19% for 6 months earns £41.92.

In the Lloyds account, £2001 at 3% for 6 months earns £30.06 plus the bonus £75, totalling £105.06.

Middle_of_the_Road

https://forums.moneysavingexpert.com/discussion/6674572/better-to-move-savings-from-a-cash-isa-for-this-lloyds-offer

You would loose around £12 interest with the lower interest rate at Lloyds over 6 months, leaving you around £63 in profit.

Miss_Sharon

Many thanks both, much appreciated. On first glance it looked like a good offer but I always try to do the math to make sure but sometimes get bamboozled.

gdrforest

The lloyds offer gives the option of a normal account or a cash ISA. You can hold multiple cash ISAs as long as you don't go over the cash limit.

flaneurs_lobster

Can someone post a link to the Lloyds offer please?

clairec666

I can't find any information about this offer - has it only been sent to selected customers?

Cisco001

is the £2000 from flexible cash isa current tax year money?

gdrforest

This offer appears to be by invitation only. I have it but OH does not. She rang to equire but the call center has no knowledge of the offer on their system and said just apply and see ( it would be 6 months at low intereset before we would find out) or wait and see if she gets an invitation

flaneurs_lobster

https://forums.moneysavingexpert.com/discussion/comment/82056270#Comment_82056270

Was the invitation made by email, in-app notification or some other medium?

gdrforest

https://forums.moneysavingexpert.com/discussion/comment/82056286#Comment_82056286

Email. Even if you follow the link in the email you just get to the underlying accounts but not the cashback offer.