Halifax launches best buy cash ISA paying 3.00%

Halifax has launched a new 3.00% (variable) tax free Cash ISA Direct Reward available to both new and existing customers from Monday 28th February.

Customers who hold their main bank account with Halifax will also receive an additional 0.20% in interest taking the rate to 3.20% (AER/Tax Free). Savers will benefit from a best buy cash ISA with the reassurance of the Halifax ISA Promise.

Flavia Palacios, head of Halifax savings products, said "This is a market leading ISA which can be opened from as little as £1. The account also accepts the transfer of previous years Cash ISA balances so when coupled with the Halifax Cash ISA Promise, savers really are getting a better deal."

Key features:

A variable interest rate of 3.00% (AER/tax free) for 12 months from date of first deposit

Additional 0.20% AER/tax free for customers who hold their main bank account with Halifax, taking the rate to 3.20% AER/tax free

Minimum balance £1

Transfers in, of current and/of previous years ISA funds accepted

No withdrawal penaltiesAnnual£5,100ISA limit applies for this tax year which increases to £5,340 from 5th April

After 12 months as previously announced we will notify customers that their rate has come to an end and they will be invited to review their ISA arrangements to make sure they have the best deal available