The West Brom Building Society has relaunched its 60-day Notice ISA paying a competitive 5.06 percent interest rate.
This tax-free WeBeSave 60-day Notice ISA allows withdrawals – subject to serving a 60-day notice period – and tops the list for accounts in this sector.
Sophie Dwyer, product manager at the West Brom, commented: “Notice accounts are great for saving towards a future goal, offering higher interest rates, whilst still providing the flexibility of accessing your money with advance notice should you need it.
“ISAs are great for taxpayers and so our WeBSave 60 Day Notice ISA really helps people to make the most of their savings.
“And for those who have already used their annual ISA subscription, we have a 60-day Notice Account priced at 5.25 percent.”
The WeBSave 60-day Notice ISA and the 60-day Notice Account can be opened and managed online with as little as £1.
Earlier access is only possible at a charge equivalent to 60 days’ loss of interest.
The West Brom’s ISA is currently topping the table for 60-day notice accounts, but the competition isn’t too far behind.
Offering a lower notice period of 45 days, Harpenden Building Society is offering an Annual Equivalent Rate (AER) of 4.55 percent.
The account can be opened with a minimum deposit of £1,000 and interest is paid annually. Withdrawals are permitted but are subject to a 45-day notice period.
Offering even fewer days’ notice, Aldermore is offering a 30-day Cash ISA with an AER of 4.5 percent. The account can be launched with a minimum deposit of £1,000 and interest is paid on the anniversary.
Back to 60-day notice ISAs, Furness Building Society is offering the second most competitive AER of 4.1 percent. The account can be opened with a minimum deposit of £1,000 and interest is also paid annually.
Commenting on the market, Rachel Springall, a finance expert at Moneyfactscompare.co.uk, said: “Savers may be delighted to see that Cash ISAs have improved over the past year and providers have started reviewing their ranges for a new ISA season.
“Cash ISAs have been an essential way for consumers to protect their savings returns from tax, and they are still worth taking advantage of today.
“As interest rates rose sharply last year, those savers who decided to invest their cash outside of an ISA wrapper may breach their Personal Savings Allowance (PSA). Cash ISAs could be a better option, particularly for higher-rate taxpayers with a large nest egg.”
Ms Springall added: “Savers comparing rates today and wishing to move their existing ISA pot must ensure they transfer the cash to keep its tax-free wrapper, but note that not every Cash ISA will permit transfers in from Cash ISA or Stocks and Shares ISAs.
“Those who want to spread their cash across variable and fixed rates could do so with a provider that offers this option, and the ISA reforms coming into place in the 2024/2025 tax year could entice more consumers to use ISAs. It’s an exciting year ahead for Cash ISAs and it will be interesting to see if providers attract deposits.”
