New fixed rate ISAs launched

Clydesdale and Yorkshire Banks have launched two new fixed rate ISAs this week. The two new accounts offer a choice of 1 and 5 year terms and rates of 3% and 5% Gross/AER, respectively.

Product Features

Choice of terms, 1 year and 5 years.
Minimum opening balance £2,000.
Maximum balance of £3,600 in any one tax year (or £5,100 for people aged 50 by 05/04/2010), up to 5th April 2010, excluding transfers in.
Additional deposits, up to the full annual ISA allowance (£5,100), can be made after 6th April, until the issue closes. Existing customers wishing to do this can mandate a transfer to take place in the new tax year.
Transfers in are allowed.
No withdrawals allowed except for closure.
Early closure on 5 days notice and min. £30 loss of interest.

To ensure that processing before the tax year end, applications for the 09/10 tax year must be received by 1st April.

Steve Reid, retail director, Clydesdale Bank, said: "To get the best returns on your savings it's important to make the most of your ISA allowance. We now have two great new fixed rate ISAs with the added feature that you will also be able to invest next year's allowance at the same great rate."