Isa

[jennyjoan]

Just been informed that I think from April 2014 - interest rate will be 1.0 as opposed to 1.5% - think letter is asking do I want to go elsewhere.

Where would I go to get a better interest - this ISA is tied up until 2016 - will I leave it alone or what TIA.

[furrypusscat]

If it is tied up until 2016 then surely you wont be allowed to transfer to another provider unless you are prepared to lose interest. Is it not just a letter stating their interest rates are altering. Also if it is tied up surely you are on a fixed rate until expiry date, ie 2016.

[jennyjoan]

furry you are probably right - can't understand these letters too well as I don't delve too much with them. Think will leave it alone as I do think I would lose if I transferred. however, not much interest there is there???

[furrypusscat]

If you can get at it then look around at Halifax, Nat West and Co-op banks. I think they are better rates. Never withdraw it only transfer to providers who allow transfer ins otherwise you lose the tax free element of the ISA.

[jennyjoan]

that is one thing I do know - not to lift but try and "transfer". Might take a trip into town some time.

[factor-fiction]

You can probably better than 1.5%- just, never mind 1%, so consider transferring it if they are allowing you to do so without penalty.
Look on the MSE site for the best deals.
But it depends how much you have- if it's only a £1000 say then it may not be worth worrying about

[factor-fiction]

You could save your bus fare/shoe leather by looking on here first

[factor-fiction]

http://www.moneysavingexpert.com/savings/best-cash-isa
Here!

[Psybbo]

If this is fixed till 2016, would it not be a fixed rate ISA and therefore no drop in interest rate?

[jennyjoan]

thanks Factor and Psybbo - have looked at your link - will go down and look at the letter again - deffo 1% nothing - you would rather lift it and put under your pillow - sadly it is more round £9,000 now - don't mind you lot knowing my business cos I need your help - however, it is my very last of anything I own.

[Psybbo]

Jenny, (I know) I'll have to have a look at mine with the Nationwide, fixed until 2017 but I think the interest rate is fixed because you can't or shouldn't touch it

[jennyjoan]

hold on psybbo and look at the letter again -yes we want you to know that your interest rates are changing 0.50% existing £1 - £9999 and from 21 April same.

For £10,000-£24,999 - was 1.50% going to be 1.00%

[jennyjoan]

another thing from Santander - we think you could look at our other products ie Cash ISA to see if it meets your needs. that's it.

[jennyjoan]

just noticed variable rate is the one i have

[smurfchops]

Before the ISAs end date, They will write asking you what you want to do, if you do nothing you will lose even more money. They will put the ISAs in a lower rate account so look for a better rate somewhere else and say you want to move them. Look on a comparison website on April 5 2016 for a better rate.

[Hopkirk]

National Savings & Investments (NS&I) are just dropping theirs from 1.75% to 1.5%.

Better than you are getting.

[Psybbo]

Thank goodness I took 2.7% fixed for 4 years

[boxtops]

conne, don't forget that the whole benefit of an ISA is that it's tax free, but you can move it to another ISA product - I've done it when the rate on mine dropped at the end of the initial period.

However if yours is not set to expire until 2016, you ought to still be getting that rate until the 2016 date (that's what happened with mine, the original date with the better rate still stood until the expiry date).

[Psybbo]

Boxy, she says hers has a variable rate.

[boxtops]

Ah, conne's last post wasn't there when I wrote. They can do it, then.

[factor-fiction]

I'm confused. Should i know who Conne is?
I'm also confused as to how the ISA can be tied up yet have a variable rate