New market-leading cash ISA rates launched by the Cheshire BS
The Cheshire Building Society, which is part of the Nationwide Group, has increased the rate on its Direct Cash ISA - Issue 1 and launching issue 3 of its Direct Fixed Rate ISA.
Direct Fixed Rate ISA - Issue 3
A new issue of the Direct Fixed Rate ISA will be launched on 8 March 2012. Direct Fixed Rate ISA - Issue 3 is an 18-month fixed rate cash ISA paying a market-leading 4.05% tax-free (4.00% AER) on balances of £1,000 or more. Any customers who previously opened Direct Fixed Rate ISA - Issue 2 (launched on 2 March 2012) will automatically be moved over to Issue 3 so they can benefit from the higher rate.
Once again, the Direct Fixed Rate ISA - Issue 3 offers a rate similar to the most competitive two-year fixed accounts on the market along with the added benefit that savers don't have to tie their money up for as long.
The Direct Fixed Rate ISA - Issue 3 can be opened either online or by telephone and is open to new subscriptions only. The minimum opening balance is £1,000 with a maximum balance based on the current cash ISA allowance of £5,340.
Interest is paid on maturity and is paid back into the account. Withdrawals are not permitted during the term of the account but closures can be made subject to 180 days' loss of interest.
Direct Cash ISA - Issue 1
From 8 March 2012, the rate on the Direct Cash ISA will increase to a market-leading 3.35% AER tax-free (variable). The new rate is applicable to both new and existing Direct Cash ISA customers with balances of £1,000 or more. The rate includes an introductory fixed bonus of 2.35% tax-free until 30 September 2013.
Open to new ISA subscriptions only, Direct Cash ISA - Issue 1 is available to those savers who have not started to use their 2011/12 cash ISA allowance of £5,340. Savers can open Direct Cash ISA either online or by phone and are able to make as many deposits and withdrawals as they like by post without loss of interest.
Cheshire Building Society will write to customers around a month before bonus expiry to notify them that their bonus is coming to an end.
Darren Bailey, Head of Savings Pricing at the Cheshire Building Society, said: "These latest interest rate rises make both Cheshire cash ISAs an extremely attractive option for those savers who are looking to maximise the return on their money. Offering both variable and fixed rate cash ISAs, the Cheshire is providing the choice and variety to cater for the differing needs of savers up and down the country."