Open a cash ISA now or after 6th April?

Blackstar_solar · 27 Feb 2011 at 19:42

I've currently got my savings in a cash ISA with nationwide, they're giving me 2.75%.

There are currently providers out there who would give me a better rate, by about 0.25%.

Question is, should I start the ball rolling getting my money transferred to one of them now, or should I wait until 6th April when there might be better offers on (as it's the new tax year)?

Thoughts?

Clown · 27 Feb 2011 at 19:44

Assuming the new bank will let you, you can transfer ISAs as many times as you like.

Blackstar_solar · 27 Feb 2011 at 19:45

It's more a question of whether you think there will be better deals in April.

If you think there will be, I'll wait, if not, I'll move now; saves me going through the hassle twice.

Slam62 · 27 Feb 2011 at 19:46

I wouldn't for 0.25%

Andr3w · 27 Feb 2011 at 19:49

How big is your ISA, would 0.25% make you that much more money?

CaptainRAVE · 27 Feb 2011 at 20:22

Anyone know what the limit will be for cash ISAs in the new tax year?

Vonhelmet · 27 Feb 2011 at 21:17

CaptainRAVE said:
Anyone know what the limit will be for cash ISAs in the new tax year?

A quick Google suggest £5,340.

[TW]Fox · 27 Feb 2011 at 21:18

Do it now, you can always move it again next year if you wish.

SideWinder · 27 Feb 2011 at 21:19

I just opened one with Halifax. The limit was apparently £5,100 and i will be transfering more in April. I think i will be getting 2.8%. 3 years ago i got 5.4%.

[TW]Fox · 27 Feb 2011 at 21:20

SideWinder said:
I just opened one with Halifax. The limit was apparently £5,100 and i will be transfering more in April. I think i will be getting 2.8%. 3 years ago i got 5.4%.

Yea I just dug out my NS&I joining letter to get my account number, it was 5.8%

Low interest rates for the win, screwing the currency and ruining our savings

jp_bl_68 · 27 Feb 2011 at 21:23

I was looking into getting an ISA but with the interest rates being so low it just seemed pointless. Was I overreacting?

Vonhelmet · 27 Feb 2011 at 21:25

jp_bl_68 said:
I was looking into getting an ISA but with the interest rates being so low it just seemed pointless. Was I overreacting?

It's better than keeping it in a current account, but beyond that...

[TW]Fox · 27 Feb 2011 at 21:35

vonhelmet said:
It's better than keeping it in a current account, but beyond that...

Not always.

Santander are offering 5% AER on balances of up to £2.5k at the moment. After tax, provided you are a lower rate taxpayer, it beats any ISA. Next is Lloyds with 4% AER for between 5-7k balances.

You can have both, meaning you can have up to £9.5k in current accounts earning on average higher interest than any ISA

Vonhelmet · 27 Feb 2011 at 21:48

[TW]Fox;18561829 said:
Not always.

Santander are offering 5% AER on balances of up to £2.5k at the moment. After tax, provided you are a lower rate taxpayer, it beats any ISA. Next is Lloyds with 4% AER for between 5-7k balances.

You can have both, meaning you can have up to £9.5k in current accounts earning on average higher interest than any ISA

OK, so it's better than keeping it in my Co-Operative current account

EDIT: That being said, if anyone wants to keep their money in my Co-Operative current account, they're more than welcome.

Strife212 · 27 Feb 2011 at 21:49

My lloyds ISA has a 1% rate as far as I know, it did have 2% but that was only for a year. Shocking. Will move it as soon as the interest gets paid.

daver · 27 Feb 2011 at 22:29

Yeah Halifax cut my ISA to something silly like 0.5% now have my savings in a web saver that gives me something like 2.5% (cbf finding another isa as I will need my money within 6 months)