M&S Money launches ‘Flexi Cash ISA’ option

M&S Money is launching its new Flexi Cash ISA option on 9th February 2010, offering a variable rate of 2.65% AER/tax-free. This includes a bonus rate of 1.25% for 18 months from initial deposit.

Research commissioned by M&S Money revealed that people are now more concerned about easy access to their savings (53% compared to 22% in 2009) and are looking for interest rates with a bonus, as well as fixed rates.  When asked what was important to them putting money into savings, 56% wanted a savings provider they could trust, compared to 34% in 2009.

Flexi Cash ISA is one of the options customers can use within the M&S Cash ISA account to divide their tax?free savings allowance between variable and fixed rates.  From 6th April 2010, the new limit for Cash ISA savings will be £5,100 per tax year for everyone aged 16 and over.  This new limit already exists for those aged 50 and over on 5th April 2010.

With the M&S Cash ISA, a customer would be able to save for example £2,550 in the variable Flexi Cash ISA option, and the remaining £2,550 in one of the fixed rate savings options available.

Colin Kersley, Chief Executive of M&S Money, commented; "Our research shows that more people than last year are looking for a savings provider they can trust.  At M&S Money we have been providing a safe home for customers' savings for many years, and the company itself is 25 years old this year.

"We are also part of HSBC, one of the world's largest banking and financial services organisations, and are continuing to develop our savings range.  Cash savings are protected under the UK Financial Services Compensation Scheme, and the first £50,000 of our customers' savings are 100% guaranteed."

Customers can apply at marksandspencer.com/isa.