Compare Instant Access ISAs
An Individual Savings Account (ISA) is a tax-free savings account which allows you to save up to a set amount of money per financial year without paying any tax on it. Instant Access Individual Savings Accounts are designed to allow savers to easily access the funds contained within their cash ISA without incurring any sort of penalty which may prove useful to those who feel they may to make a full or partial withdrawal from their ISA during its term.
Most high-street banks offer an Instant Access ISA option, check our tables for latest rates, comparisons and links to apply.
Choosing an Instant Access ISA
- The interest rates paid on instant access ISAs tend to be comparatively low compared to fixed-rate ISAs or other types of savings accounts. The trade-off is that you get easy, fast access to your cash whenever you need it. Make sure you shop around to find the instant access ISA with the best current rates, and be prepared to switch providers if rates change
- Some instant access ISA providers offer incentives to those opening a new account. This may mean that you'll be offered an increased rate of interest for a fixed duration or a bonus if you transfer your old cash ISA balance to the new provider. Savers should bear in mind that the ongoing interest rate may not be competitive, so get ready to switch to a different ISA provider once any incentives or bonuses have been paid.
- Some instant access cash ISA providers pay interest on a monthly basis, while others do so on a quarterly or annual basis. Make sure you know which calculation method will be suitable for you before signing up for an instant access ISA
Benefits of a Variable Interest Rate Account
Accounts with variable interest rates allow for much greater flexibility in terms of deposit and withdrawal. An individual can usually make as many deposits up until the amount becomes equal to that set as the annual allowance limit.
There is also a greater flexibility in withdrawal with little or no penalties or even a set limit on withdrawal. Withdrawals can also be made without meeting any requirements or conditions on the account, unlike fixed interest rate accounts where an individual must wait until the account matures.
This means that Instant Access ISAs are fully flexible and suitable for people who need flexible access to their money.
How do I transfer my instant access ISA?
- 1.Once you have completed the new ISA provider's transfer application form they will write to your existing provider
- 2.You can transfer your ISA between providers without affecting your current ISA allowance. Be careful you don’t close your existing ISA to open a new one as you will lose your current ISA allowance, you should transfer so you don’t lose out on your tax-free allowance
A transfer should take no more than 5 days.