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Interest Gap Narrows Between Isas And Standard Accounts


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#1 Renewed Investor

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Posted 28 March 2012 - 05:01 PM

"Interest Gap Narrows Between ISAs And Standard Accounts"

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"There are just a few days left for savers to use their Isa allowance for the current tax year, which ends on 5 April.

However, savers who miss out on this year’s allowance may get almost as good a deal from an ordinary savings account according to new research by consumer group Which?

Isas have traditionally offered a higher rate of interest than standard savings account because of their tax-free status.

Which? now reports that the average interest rate on a cash Isa is just 0.44 per cent higher than the average standard savings rate."

I've dropped my whole ISA plan, the risks don't seem worth it. Instead I am gonna try my hand at trading stocks myself. At least if I lose it is due to my own doing and not someone elses.

#2 Fatmanfilms

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Posted 28 March 2012 - 05:53 PM

I've dropped my whole ISA plan, the risks don't seem worth it. Instead I am gonna try my hand at trading stocks myself. At least if I lose it is due to my own doing and not someone elses.


Why not trade them in a self select ISA, with Selftrade or another low cost provider.

#3 scrappycocco

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Posted 28 March 2012 - 05:57 PM

yeah what is the point of these stupid bank isa's, they make them so hard to use because they expire each year.......why not just use the isa in a safe share like tesco or some company you use frequently and get the dividend......

#4 Renewed Investor

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Posted 29 March 2012 - 02:49 PM

Why not trade them in a self select ISA, with Selftrade or another low cost provider.

That is another alternative. I was looking at Interactive Investors ISA packages and they offer services like that.

Thing is though, with all this economic uncertainty I am not sure tying my money up for 3 years or so is a good idea. That is what is turning me towards trading. I have done some trading before in the past and did fairly well, but never with this much cash.

#5 Bruce Banner

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Posted 03 April 2012 - 07:31 AM

The main reason for making sure you use your ISA allowance each year is that you are building up a pot of money on which interest is tax free. That tax free status could be worth a lot more in the future than it is now.

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Conservative Party Manifesto 2010...... That was then, they now say that there is no housing bubble because prices are still below 2007 and are maintaining house price inflation with various taxpayer funded schemes........ The national debt has doubled again....... So much for manifestos.

 

One thing is clear. We can’t go on with the old model of an economy built on debt. Irresponsible public spending, an overblown banking sector, and unsustainable consumer borrowing on the back of a housing bubble were the features of an age of irresponsibility that left Britain badly exposed to the economic crisis. Now, with the national debt already doubled and in danger of doubling again, it is this debt – together with the jobs tax that Labour will introduce to help pay for it – that threatens to kill the recovery.

 

https://www.conserva...s/manifesto2010


#6 Renewed Investor

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Posted 04 April 2012 - 12:50 PM

The problem with any bank account is that unless you are getting around 10% a year then you are getting a negative yield. I think between 8 - 10% is the real inflation rate.




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