Full ISA Guide Discussion Area

innovate

Is your Nationwide ISA a fixed term one? In which case, you are not likely to be able to transfer anything into it.

If, however, you are talking about the Flexclusive ISA with a fixed rate, you could transfer into it.

I would say it is most unlikely that you will see any new ISA with more than 3% this year, and rates going lower is on the cards IMO.
So if you want to be certain of the rate now, you could transfer to the Santander 2 year one - 2.8 AER % if you are not a 123 customer, 3% if you are.

typistretired

It is the Nationwide Online ISA issue 3 which allows transfers in (it states this in the paperwork and I also checked with their customer service). The rate of 3.10% matures 30th September 2013 and goes down to 1%.

innovate

You are using confusing language - - rates don't mature, it's fixed-term contracts that do. But anyway, you now have the nice problem to decide whether to put you money into a guaranteed 3% account for 2 years, or get 3.1% for 6 months and then may be just 2% or thereabouts. Difficult decision to make.

J-Greens

Right, after some helpful replies and a bit of searching I've come to the decision I'm going to switch to the Santander Direct ISA Saver (2.5% for 1 year and easy access without charge (Well charges are not mentioned in the T&C's) = win/win)

I'm just wondering, just out of politeness, do I need to inform Lloyds? By transferring will the Lloyds account close automatically, or do I need to go in branch and close it? I transferred some money into my ISA on Thursday if I were to transfer over to Santander tomorrow, would this be seen as suspicious? Also, will I get any sort of comment or grilling from Lloyds when I do switch, since I will still have my current account with them (But that's also going to get changed, but I'm sticking with them) on like, why I switched, or will they just forget about it?

I know you guys are thinking 'naive' but I like to consider myself polite and well-mannered, even if my banking isn't the biggest in the world.

innovate

Just to clarify, the Santander 2.5% ISA rate is variable, so they could drop the rate whenever they like. Historically, they have kept the rate the same for the listed period and just dropped the rate for new applications, but they aren't obliged to do this in future.

J-Greens wrote: »

I'm just wondering, just out of politeness, do I need to inform Lloyds?

You'd probably be the first person ever to do that. No need to, and tbh, they probably couldn't care less.

J-Greens wrote: »

By transferring will the Lloyds account close automatically, or do I need to go in branch and close it?

By default, your entire balance (incl any interest earned up to the transfer date) will get transferred and your old ISA gets closed. More on the Santander transfer form which you must fill into make the transfer. http://www.santander.co.uk/csgs/StaticBS?blobcol=urldata&blobheader=application%2Fpdf&blobkey=id&blobtable=MungoBlobs&blobwhere=1223430922933&cachecontrol=immediate&ssbinary=true&maxage=3600

J-Greens wrote: »

I transferred some money into my ISA on Thursday if I were to transfer over to Santander tomorrow, would this be seen as suspicious?

I suppose you mean "deposited" rather than transferred - - - "transfer" has a very special meaning for ISAs, and you cannot do a transfer yourself. You must use the Santander transfer form to transfer your ISA to them.
But no, whether you made a deposit or a transfer, nothing will look suspicious

J-Greens wrote: »

Also, will I get any sort of comment or grilling from Lloyds when I do switch, since I will still have my current account with them

Doubt they will even notice but if they do just say you got a better rate elsewhere. You owe them absolutely no explanation - - it is your money, you can do with it as you please.

J-Greens

innovate wrote: »

You'd probably be the first person ever to do that. No need to, and tbh, they probably couldn't care less.

I just feel like I should, after all, it's Lloyds that actually recommended taking out an ISA. Then again, ISA's penalize loyalty, so, I suppose it's the right thing to do in the end.

innovate wrote: »

I suppose you mean "deposited" rather than transferred - - - "transfer" has a very special meaning for ISAs, and you cannot do a transfer yourself. You must use the Santander transfer form to transfer your ISA to them.
But no, whether you made a deposit or a transfer, nothing will look suspicious

Yeah, I moved some money from my current account to the ISA on Thursday, then come Monday I'm moving the whole lot somewhere else. It just sounds suspicious when it shouldn't.

It must be a family thing, because I've never had any loyalty to phone companies; But trying to get dad to switch away from Vodafone was like trying to get blood out of a stone...:D

innovate

J-Greens wrote: »

I just feel like I should, after all, it's Lloyds that actually recommended taking out an ISA. Then again, ISA's penalize loyalty, so, I suppose it's the right thing to do in the end.



Yeah, I moved some money from my current account to the ISA on Thursday, then come Monday I'm moving the whole lot somewhere else. It just sounds suspicious when it shouldn't.

Sounds almost like you are scared of them, but you are beginning to see the light. Yes, they recommended an ISA to you. Then they are slashing the interest rate to something appallingly low, and hope you won't notice or care.

You do not need to apologise to them for looking after your own interest. The only thing they are interested in is their own profit, and they only care about you as far as you are contributing to their profits.

J-Greens

Well, it's all done now!

Transferred to Direct ISA (2.5%) @ Santander and, to add insult (I suppose) I also made changes to my current account at Lloyds. To top it all off, they offered me life insurance as they were making the changes. A bit patronizing as they got some suited chap to act all posh to try and push a sale. I wasn't brilliant in my defense, but signed nowt (Other than the changes) and left with a leaflet that promptly went into the bin!

Bit annoyed with that actually, but I can't be arsed to complain. Still, earning a better rate of interest and saved a good £204 (per year) - I'd say it's been a good day

RisingDamp

I know this is very last minute, but would appreciate help if anyone can. My SO and I each have two old ISAs, now paying a pittance. One is with Santander, the other with Barclays. Because we've been preoccupied with other things, we haven't focussed on doing anything about them. I note Santander do an ISA that takes transfers and offers 2.5%, while Barclays only offer 2.1% (the ones we hold, naturally, pay much less!). Would it make sense - and be possible - to transfer them both into the higher paying Santander one? I suspect there are others out there paying more, but am thinking that this may be relatively uncomplicated. Just to clarify, the combined value of my two ISAs is undre £10K, my husband's a little less. TA!

innovate

RisingDamp wrote: »

Would it make sense - and be possible - to transfer them both into the higher paying Santander one?

Yes and yes

(PS: an SO on these parts of the forum is a Standing Order - - not that it matters, but I can't for the life of me think what your SO is)