New ISA for transfer in only

[AleisterCrowley]

Moderator Message:
Moved to Bank Accounts Savings & ISAs as this is a better board for the topic (chas49)

Af'noon all,

I've got a reasonable sum in a Nationwide Cash ISA (about 75% of my total ISA cash)
The current interest rate (0.5% instant Access) is poor and I'd like to transfer to a better option.
I have a Halifax HTB ISA that I pay into every month , limited to £2,400pa , so I can't pay into any other cash ISAs at any point.

a) Can I open a new ISA and do a transfer in from Nationwide without paying new cash in ?
b) Any recs for a good account? I don't want anything linked to a current account/loaded with conditions, and I'd be happy with a 1 year fix.

I may well hang around to see if the MPC raise rates on Thursday, as this might change the landscape a bit...

Thanks
AC

[Slarti]

a) Yes, if it allows transfers in. Not all do

b) No

Slarti

[swill453]

The choice for cash ISAs is pretty rubbish at the moment, almost tempting to remove the money and go for a standard savings account.

My partner was looking for an instant access ISA for transfer-in only recently, I think she went for the Post Office in the end.

Scott.

[DrBunsenHoneydew]

Yes, the Post Office is best rate for transfers in at present for instant withdrawal access - 1.07%.
If you can wait a year Virgin Money ISA at 1.51% is best.
Outside an ISA 1.75% can be got for a 1-year bond.

[pochisoldi]

The choice for cash ISAs is pretty rubbish at the moment, almost tempting to remove the money and go for a standard savings account.

If the cash ISA is a flexible ISA, then what you do is remove all the money, leave the ISA open with £1 in it.
Then before the end of the tax year, you top up the flexible ISA back to its previous balance. Then after the new tax year you take the money back out again.
Sounds like a PITA, but doing this will allow you to effectively carry over an accumulated tax-free allowance from one year to another whilst having the money on deposit outside the wrapper.

If this doesn't make sense, read https://www.moneysavingexpert.com/savings/flexible-ISAs for an explanation of flexible ISAs.

PochiSoldi.

[AleisterCrowley]

I've been looking at the Clydesdale Bank 1 year ISA 'bond' (well 14 month...) @ 1.5% Will check out some of the others.
I'm a higher rate taxpayer (just...) so the tax shelter aspect is significant
What prompted this is a short clip from Moneybox which mentioned that, although average rates haven't increased, the spread between 'best buys' and worst case has widened.
I'll see what the MPC do on Thursday before locking in....

[AleisterCrowley]

Hmm, 25 bp rise to 0.5%. See what happens now...

[chas49]

Moderator Message:
Moved to Bank Accounts Savings & ISAs as this is a better board for the topic (chas49)

[AleisterCrowley]

fair enough, looked for ISAs board when posting and couldn't find it!

[AleisterCrowley]

Well, Nationwide aren't being particularly clear about rate rises.
As far as I can tell the Funding for Lending Scheme (FLS) ends in January '18 (1st or 31st?) - be interesting to see if the end of 'cheap money' for banks/BS pushes interest rates up for savers. I'm not sure how long it will take for the effects to work through the system.

-looks like Clydesdale aren't accepting new money for their 1 yr ISA bonds

[Andy46]

Hi,

Can anyone beat 1.35% Cash ISA on offer by Leeds Building Society please? Preferably an account which can be operated through a branch network (its for my dad who doesn't do computers lol)

Thanks

[AleisterCrowley]

Sounds pretty reasonable to be honest, you may get an extra few quid a year elsewhere

On the subject of ISA rates...
I think the government funding for lending scheme ends next month - not sure how he drying-up of cheap money will affect rates, if at all