Top Cash ISAs for transfers
Filed under: Savings & ISAs
Here at lovemoney.com HQ, we regularly bang on about the importance of opening a Cash ISA. After all, these accounts are a great way for you to save tax-free.
Need to know: Savings
After all, do you know what rate of interest your ISA is currently paying? And are you sure it's competitive?
Need to know: Savings
If not, we'd suggest finding out now. And if it's not paying a decent rate of interest, it's time to move those funds elsewhere.
Unfortunately, there's just one snag with this. Sometimes you'll find that the very best interest rates are for Cash ISAs which don't allow transfers in from existing ISAs, meaning you can only open them with fresh funds – a bit of a pain to say the least.
For a round-up of the top ISAs for the 2012/13 tax year, regardless of restrictions, head for the The UK's best Cash ISAs.
Here we're going to look at the best Cash ISAs that do allow transfers in.
The table below highlights the best easy access Cash ISAs that allow transfers in:
When looking across the market, the Santander Direct ISA is top for both, so is an option for those wanting to move money over and savers with new funds. If you've got new money to stash away into an ISA, this account is shortly followed by a 60-Day Notice ISA from the Coventry Building Society which pays 3.25% followed by accounts from the Cheshire Building Society, ING Direct and Market Harborough Building Society which all pay 3%.
It's also worth noting that many of the above Cash ISAs have a bonus rate. This means that once that bonus has expired, the interest rate on your ISA may drop dramatically, so it's important to take note of when the deadline is and move your savings elsewhere at this point.
Fixed cash ISAs
If you'd prefer to tie up your savings for a year or more, you can usually earn a higher rate of interest with a fixed rate cash ISA. So here are the best ones currently on the market that accept transfers in:
And, although no-one knows for sure where interest rates are heading, we think the one- or two-year ISAs remain slightly stronger as you'll earn a decent rate of interest but you're not locking your money up for too long. But the choice is yours.
This is a classic lovemoney article that is regularly updated.