Fixed rate ISAs stay on the charts | Product News - Moneyfacts

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Fixed rate ISAs stay on the charts

Fixed rate ISAs stay on the charts

Category: ISAs
Date: 09/09/2015

MONEYFACTS ARCHIVE
This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Leeds Building Society has amended the rates of selected fixed rate ISAs by up to 0.10%, but its one, two and five-year deals have all retained their coveted places on the Moneyfacts charts.

The basics…

1 Year Fixed Rate ISA Issue 75 now pays 1.65% on maturity (31.10.16), while its two-year counterpart (Issue 70) pays 1.90% yearly until 31.10.17 and the five-year version (Issue 49) pays 2.45% yearly until 1.11.20, enabling all three to retain places among the top 10 accounts of their respective sectors.

Savers should note that the first interest payment for the two-year ISA will be on 31.10.16, while the five-year variant will make its first payment on 1.11.16.

The finer details…

These accounts can be opened in branch, by post and online with a minimum investment of £100. They can then be managed in branch or by post.

Further additions are permitted until 30.10.15, and transfers in of cash and stocks & shares ISAs are also allowed. Unusually for the fixed rate market, all accounts allow savers to withdraw up to 25% of invested funds penalty-free. However, subsequent withdrawals will then result in a 60-day interest penalty for the one-year ISA, while penalties of 150 days and 365 days' interest will be charged for the two and five-year ISAs respectively. These penalties will also apply to transfers away from the accounts.

Why we like them…

These ISAs all boast competitive rates, enabling them to hold onto their chart places. Savers are likely to welcome the flexibility of being able to add to deposited funds and transfer in existing savings, as well as the option of withdrawing up to 25% of invested funds. However, savers must be wary of exceeding this restriction, as additional withdrawals carry hefty interest penalties.

Moneyfacts rating: Excellent

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

 

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

 
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