LloydsTSB Fixed rate Isa 6.5%

Purple_Peril

In response the the query re account opening: From the terms and conditions (A.1.3) "You must open your FRISA account with a minimum deposit of £3000. This may be by transfer from an ISA product or products subscribed to in previous tax years ...". So yes, you can open it purely with transferred funds - which is what I (and several other people who have contributed to this thread have done).

Dagobert

I was told on the phone to-day that interest is back-dated to the date of the transfer-in request.

I requested 2 transfers on 12th February:

1. NS&I £3K: account closed on 13th Mar; credited on 26th Mar.
2. Kent Reliance £6K: account closed on 4th Mar; still waiting for credit.

If they really back-dated the interest both introductions should attract 6.5% right from the start as £9K would be deemed to have been in the account from the date of request. Surely, this cannot be the case.

I am looking to introduce a further ISA from A&L when its bonus rate expires on 30th Apr, after which the interest rate will be mince. If TSB really back-date the interest it would be worthwhile waiting with the transfer-in request until the end of the month.


Can anyone confirm how TSB handle introductions interest-wise as I can't find this in the T&Cs?

roddydogs

"Back dated" means the DIFFERENCE bewtween your old rate, and 6.5% it is NOT a full backdating of lost interest!

maypole

boobbby wrote: »

As we can only pay into one ISA a year your answer begs the question "what if we only put in say £500 up until May, CAN we continue to add to this ISA after May" to make full use of our allowance of £3600. Remember we cant transfer the ISA to another provider without losing 90 days interest.

I would assume once the account is opened, you can add to it, but maybe it will not be available to anyone else after that date. If that is not the case then it is unfortunate for people who drip feed into their ISAs.

maypole

wiimad wrote: »

Today i walked into my local Lloyds tsb branch to open the isa account.I wanted to transfer 4 seperate ISA accounts over at a total of about 15k( enough for the £9000) minimum for 6.5% rate.I also wanted to open a 08/09 ISA with savings of £3600 and transfer my 07/08 fixed rate ISA on 19th april when it pays interest for the year. The Lloyds tsb advisor explained the best thing to do would be to open a standard variable lloyds tsb ISA currently at 5.15% and then arrange for another day for me to pop into the branch "say 15th April and deposit the £3600 for 08/09 ISA and also transfer the 07/08 ISA when its ends on 19th of April and then transfer the whole account over to the 6.5%. Does this seem the right approach, as i agreed at the time but now wonder why the 6.5% could of not started straight away??.Any comments thanks?

By the way they didnt try and sell me anything,Cannot believe it! didnt even ask about morgage or savings

I wouldn't have thought you could open the 08/09 ISA until 6th April.

snarffie

bristolleedsfan wrote: »

U mean from Barclays to LTSB.

My transfer from Barclays to Nationwide was completed within 3 weeks which shows that Barclays are up to speed on ISA transfers.

U might like to note that the Interest Rate shown on the Barclays Statement doesnt include the 1% bonus, if u are entitled to it then u should add it on.

Hmmm. Not that up to speed!

I opened my FRISA on 3rd March. No sign of any transfer from Barclays yet. My Abbey Direct sent me a letter, dated 28th March to say that they have transferred the money to Lloyds, but that hasn't appeared in the FRISA yet(only 3 working days since letter, so not unexpected).

At least Abbey have done 'something'. How do I find out if Barclays have received the request from Lloyds?

MiserlyMartin

boobbby wrote: »

Normally you would transfer the total of the money you have paid into an ISA in that tax year plus all or a partial amount from previous years. If you start a new ISA in 08/09 with new provider you can then move that money to another provider later if you want (providing it allows transfers without penalty) and then move the money in your Lloyds ISA when your 12 month are up also to the same new ISA. Bit complicated but as Lloyds has the 90 day loss of interest using their ISA it is probably the safest route. I wonder if one day providers may not allow the transfers of previous years ISA's to their highest rates (like Barclays)

Have just noticed that if you withdraw even £10 from this fixed ISA you lose 90 days on the FULL amount

I'm not worried about having to transfer out before the 12 months is up because I don't intend to do that. I'm more worried about how rubbish the Lloyds rate will be after the 12 months is up. And if there will be complications in transferring it out because some of it is old tax year money and the other will be current tax year money (12 month runs out a month or so before the end of the next tax year)

My dilemma is do I add 3,600 to the Lloyds ISA or open new Barclays one? Lloyds should be a better bet because its fixed rate. But Barclays as you say may be less complicated when transferring out.

carpy

MiserlyMartin wrote: »

My dilemma is do I add 3,600 to the Lloyds ISA or open new Barclays one? Lloyds should be a better bet because its fixed rate. But Barclays as you say may be less complicated when transferring out.

i have the same dilemma.......not sure what to do

Mee

maypole wrote: »

I would assume once the account is opened, you can add to it, but maybe it will not be available to anyone else after that date. If that is not the case then it is unfortunate for people who drip feed into their ISAs.

can you run that by me gain "Remember we can't transfer the ISA to another provider without losing 90 days interest"? I assume that this applies only if you transfer out before the FR period is up?

KTF

Mee wrote: »

this applies only if you transfer out before the FR period is up?

This is correct.