The best cash ISA rates this week

The best easy access cash ISA rates

Market-leading returns on our easy access ISA chart went unchanged this week, with competition in the sector seeming to have settled down. Trading 212 remains one of two providers to offer 5.17% AER; its Cash ISA pays interest daily after opening online or by mobile app with no minimum deposit required. This account can be managed via the same means and allows unlimited penalty-free access to your cash – making it suitable for those who regularly dip into their savings. What’s more, as a flexible ISA, you can replace any withdrawn funds without it counting towards your annual ISA allowance. That being said, it’s important to check this provider’s partner banks to make sure your money will be covered by the UK depositor protection scheme.

Alternatively, the same rate can also be found from Moneybox when taking into consideration the 0.45% bonus applied to its Moneybox Cash ISA for the first 12 months. This account requires a slightly larger £500 minimum deposit to open and manage via mobile app, after which it pays interest on anniversary. However, any access to your cash must be considered carefully as the interest rate received will reduce significantly to 0.75% from the fourth withdrawal within the space of a year.

As for the next best rate, fellow app-based provider, Plum, maintains a competitive spot on our chart with its Plum Cash ISA continuing to offer 4.92% AER monthly, inclusive of a 0.86% bonus for the first 12 months. While this account can be opened with just £1, note applies anytime your balance falls below £100 or for making more than three withdrawals per year. Furthermore, while transfers in are accepted from a wide range of ISAs, bear in mind this strips the headline rate of its bonus, and you’ll instead receive an underlying 3.79% AER.

Finally, Principality BS improves its position within the sector after Paragon Bank withdrew its formerly competitive account this week. When considering a 1.55% bonus included for 12 months, the primarily Wales-based building society pays 4.85% AER yearly with its Online Bonus 5 Access Cash ISA Issue 2. As its name suggests, this account operates solely online following a £1 deposit, although any transaction must be made via a nominated account. While it follows flexible ISA rules, you should also keep in mind there is a strict limit of five withdrawals per tax-year.

With many of this week’s best rates including bonuses, be sure to check whether an account still offers competitive returns once the offer expires.

The best fixed cash ISA rates

In the fixed ISA market, the very best one-year returns took a tumble after last week’s leading account had its rate reduced from 4.60% AER. Shawbrook Bank has since assumed top spot with its 1 Year Fixed Rate Cash ISA Bond Issue 111 paying a recently increased 4.49% AER either monthly or on maturity. This account can be opened online with a £1,000 deposit and additionally managed over the phone, with further deposits permitted without restriction. Early access is also allowed subject to 90 days’ loss of interest, while external transfers in from other Cash ISAs or Stocks and Shares ISAs are accepted so long as they are made at the same time as the initial application.

Marginally higher returns can now be found from the market-leading two-year fixed rate ISA; State Bank of India not only continues to top this sector, but also our five-year chart. New current or savings account customers can apply for its 2 and 5 Year Cash ISA Fixed Deposits in branch or by post, paying 4.50% AER and 4.15% AER, respectively, on a minimum of £1,000. Both accounts can then additionally be managed online but prohibit further additions. Early access, meanwhile, is only permitted on account closure subject to 30 days’ notice. While interest is compounded annually and paid on maturity, bear in mind you won’t receive any returns if either account is closed before its first anniversary and a 1% loss of interest penalty applies for closure beyond this milestone.

In contrast, our three-year fixed ISA chart witnessed close competition over the past week which has driven up market-leading returns. UBL UK is one of three providers to now offer 4.33% AER; its 3 Year Fixed Rate Cash ISA pays this rate either monthly, quarterly, on anniversary or on maturity following a £2,000 minimum deposit. The account can be opened online, in branch, by post or via mobile app, before additionally being managed over the phone. It should be noted, however, further deposits aren’t accepted, and early access is only allowed upon account closure, subject to a 270-day loss of interest penalty.

Secure Trust Bank, meanwhile, offers the same rate yearly with its 3 Year Fixed Rate Cash ISA (24.Dec.27). A more modest deposit of at least £1,000 is needed to open this account online – additions to which are permitted for a further 30 days via a nominated account so long as they are from a minimum of £1,000. It can also be managed over the phone or by mobile app, with early access once again only allowed upon account closure subject to 270 days’ loss of interest.

Rounding off the three market-leaders, Cynergy Bank’s three-year Fixed Rate Cash ISA may particularly appeal to those with an even smaller deposit, as it can be opened online with a £500 investment. Note, the Cynergy Bank Authenticator App or Digipass is also needed to use online banking, but the account can additionally be managed over the phone or by post if preferred. While Cynergy Bank accepts further deposits, you should keep in mind these will be paid into a Variable Rate ISA rather than this fixed account. And, as for early access, this is permitted upon account closure subject to a slightly less severe180-day loss of interest penalty.

The best notice cash ISA rates

As for notice ISAs, the best rates in this corner of the savings market go unchanged for another consecutive week and can still be bettered by some of the top easy access ISAs.

Nevertheless, as its name implies, those interested in Tipton & Coseley BS’s 30 Day Notice ISA (Mobile App Account) can open and manage the account via the building society’s website with a £1,000 minimum deposit. It continues to pay 4.55% AER yearly – the most competitive rate for an account requiring up to 30 days’ notice before making a withdrawal. Both further additions and withdrawals are permitted via a nominated account, while early access (without serving the full notice period) can be gained subject to 30 days’ loss of interest.

Otherwise, West Brom BS still leads our up to 60-day notice ISA chart by offering a higher rate of 4.85% AER with its 60 Day Notice ISA (Issue 1). This online-only account pays interest either monthly or yearly on a £1 initial investment – additions to which are permitted without restriction. It also offers the option of early access by serving a 60-day loss of interest penalty.