Cash Isa rates on short-term fixed deals finally climbing above 2% with building societies and challengers leading the way

Cash Isa rates on short-term fixed deals finally climbing above 2 per cent

After months of lacklustre tax-free returns for savers, a flurry of deals from building societies and challenger banks is putting High Street rivals in the shade. Marsden Building Society has launched a two-year fixed-rate cash Isa at 2.05 per cent, matching Coventry Building Society - that's £205 a year on £10,000.

Customers CAN request not to have a contactless debit card major banks say - but at one, just 1,200 out of millions have...

Contactless technology has become more popular in the last year, with recent reports suggesting usage has grown significantly. Some don't like them - but you can request not to have one.

Government breaks promise to make cash Isas more flexible within next few weeks

In his Budget speech on March 18, Chancellor George Osborne said the fully flexible Isa would be available from the autumn. But it has emerged that savers will have to wait until April 6 next year.

HSBC say all of 275,000 payments missed in computer meltdown are now processed

Britain's biggest bank, which has 16 million UK customers, failed to transfer hundreds of millions of pounds this morning. They say those who missed out should be paid this evening.

Savings rates are creeping up: Challenger bank Kent Reliance raises one-year fix to a best-buy 2.1%

Banks in line for another £40bn bill as fresh wave of charges over mis-seling and foreign exchange rate rigging looms

Banks in line for another £40bn bill as fresh wave of charges over mis-seling and foreign

The Financial Conduct Authority is set to rule within weeks on whether undisclosed commissions charged on Payment Protection Insurance break consumer protection rules. Some experts have put the cost of an adverse ruling at as much as £33billion for the banks. Separately, pension funds and other investors engaged in currency trading are likely to file a claim in London in October for billions of pounds against the banks for rigging foreign exchange markets.

Britons embrace contactless payments with spending up 560% in a year - and half of transactions are made by the over-50s

Britons are increasingly using contactless credit and debit cards to pay for goods and services in the last 12 months, according to two separate reports.

Monthly income account trap costs savers 12.5% interest compared to deals which pay out annually

Businessman shaking a piggy bank

In April, a new personal savings allowance means basic-rate taxpayers pay no tax on their first £1,000 of any savings interest.

Households without a mortgage £1k worse off than seven years ago, official stats show - and it's thanks to the savings rate crash

While households are now marginally better off, savers without a home loan are roughly £1,000 worse off than they were before the financial crisis bit seven years ago, the ONS said.

Earn £100 interest by switching your old easy access account to one of the latest deals 

Newcomers raise rates on fixed rate bonds - with Charter Savings Bank paying 2.06% for one year

BH8D84 Piggy bank under rug

New banks are raising the interest paid out on fixed-rate bonds to as high as 2.06 per cent for 12 months.

The top savings deals that WILL pass on a rise when the Bank of England's base rate goes up

A6406X The Bank of England London, UK

An increase in the base rate is finally on the cards, with the Bank warning that it could come early next year. But there will be no guarantee that increases will be passed on to savers.

Halifax boosts rate on its one-year fixed-rate cash Isa in move which could help kickstart competition among rivals

A general view of a Halifax Bank of Scotland branch in the centre of Cambridge, Cambridgeshire.

Halifax has bumped up the interest paid on its one-year fixed-rate cash Isa for new savers from 1.4 per cent to 1.6 per cent - and the move could help stimulate competition.

'I got £130k back from PPI:' Chef's massive payout and he DIDN'T use a claims firm

Tonny Ramselaar at his Wilshire Hotel. Pic Darren Jack

Victims of payment protection insurance misselling who have yet to complain are being urged to act fast because a time bar could soon be slapped on future claims.

Tables: Best cash isas
Chosen by This is Money
Blue World Map Credit Card
Provider Rate
NS&I; 1.50% More
Monmouthshire BS 1.50% More
Virgin Money 1.41% More
Coventry BS 1.40% More
Dudley BS 1.40% More

Premium Bonds winners

September 2015
Prize value Winning bond No. Area
£1,000,000 181XE611069 South West Wales
£1,000,000 180AV204733 Overseas
£100,000 82NC804116 Outer London
£100,000 248RZ165168 Bedfordshire
£100,000 188PZ779903 Essex
£100,000 15SM469591 Overseas
£100,000 137XP786876 Fife
£50,000 89AE387151 Birmingham
£50,000 6HJ562295 Hertfordshire
£50,000 36BX381662 Leicester
£50,000 251XK512431 Surrey
More Premium Bonds winners
Best Current accounts
Chosen by This is Money
Blue World Map Credit Card
Provider Incentive
First Direct Free £100 More
HSBC Earn £240 More
Nationwide Travel cover More
Santander 3% cashback More
Halifax £5 a month More

Banks braced for £825m bill over mis-sold current accounts as 200 complaints a day now pour into ombudsman

Banks braced for £825m bill over mis-sold current accounts - but only 1 in 10 consumer

Banks have been forced to set aside a £825million compensation fund for customers who have been mis-sold expensive, fee-charging current accounts. Record numbers of people are complaining they did not want or could not use packaged accounts costing up to £25 a month, offering 'perks' such as breakdown cover and mobile phone and travel insurance.Around 200 complaints a day are being handled by the independent Financial Ombudsman Service, and with the average payout at £300, more than two million people may be set to make a claim.

Should you ditch the banks and their low savings rates? Why people are flocking to lend-to-save and how it works

Lend-to-save: Schemes are growing in popularity

Savers and borrowers are seeking out peer-to-peer firms in a bid to access better rates, we explain how lend-to-save works and whether it is safe.

Don't score an own goal with your savings this season by being lured into paltry rates linked to football clubs

Football fans are being warned financial offerings linked to their club could be a dud signing - especially savings accounts paying relegation zone interest.

With the new term just a month away banks battle to offer best student current accounts with range of perks and overdrafts - how do they compare?

With the new 2015-2016 term looming, many major banks have released their new student current accounts, or altering their old ones, in a bid to lure a new generation of customers.

Easy-access savings deals start to edge up as banks and building societies offer new accounts 

The second issue of Skipton Limited Edition eSaver pays 1.12 per cent after tax (1.4 per cent before). Savers in the first issue, which pays a lower 1 per cent, can switch to the better deal.

Challenger banks Charter Savings and RCI boost fixed savings rates as smaller providers continue to leapfrog each other

Interest paid on fixed-rate bond is edging higher as new banks leapfrog each other to attract savers. Both RCI and Charter Savings now pay 2.06% fixed for a year.

A new mis-selling scandal could see bank customers pocket a £33BILLION windfall - so what did banks do wrong and will you receive compensation? 

Mature man sitting on floor by sofa, reading papers
Used with Metro article looking at switching to cheaper bills
creative rights managed

Just as the demand for PPI compensation finally starts to cool down, an even greater mis-selling scandal threatens to engulf Britain's banks. Will you get a pay out and what have banks done wrong?

Act fast to snap up easy-access savings accounts as best buy deals won't be around for much longer

Banks and building societies are offering better deals but once the provider has attracted as much money as it wants, it closes the account to new savers.

Nationwide offers customers up to £1,000 to get friends and family to join its current account (and they get free money too)

If you are a Nationwide current account holder, you could earn £100 for each of up to 10 friends who switch to the building society.

Leeds BS launches 'flexible' five-year fixed savings account that you can break into early - but is it worth taking?

Leeds Building Society has today launched a new five-year fixed-rate savings account which comes with partial access paying 2.6 per cent - but how does it stack up?

Savers with £85k in a fixed-rate account will be able to withdraw £10k without charge when the FSCS limit drops to £75k

Savers will be able to access cash tied-up in fixed-rate accounts as early as October if they are affected by changes in the Financial Services Compensation limit.

Kent Reliance boosts fixed savings rates and one-year deal is now best buy as challenger banks continue to battle for top spot

Kent Reliance boosts fixed savings rates with one-year best buy

Kent Reliance has today boosted the rate on its one-year fixed-rate account rocketing in to the top of the independent This is Money savings tables. It is now offering 2.1 per cent over 12 months, up from 2.02 per cent it previously had available. This nudges it past Charter Savings Bank to the top spot by 0.04 percentage points.

Newcomers raise rates on fixed rate bonds - with Charter Savings Bank paying 2.06% for one year

Charter Savings Bank paying 2.06% on one-year fixed rate bond

New banks are raising the interest paid out on fixed-rate bonds to as high as 2.06 per cent for 12 months. The Charter Bank deal is available only on the internet, but you can buy the Kent Reliance version online or though one of its nine branches.

   

More must reads...

BM Savings wants to charge me £35 to transfer closing balance from my one-year cash Isa to my current account!?

BM Savings want to charge me half the interest I've made on my cash Isa as a fee for paying the money straight to my account. Why is it free if it's a cheque payment?

How safe is it to pay for shopping on your iPhone? We explain how the new contactless Apple Pay service works

apple pay.jpg

Tech giant Apple has launched a service that turns your mobile phone into a wallet. So how does it work and is it safe?

ASK TONY: Why did I lose £200 in bank fees when my brother lost only £10?

My Canadian uncle died, leaving me and my brother 11,741.57 dollars each. My brother paid his cheque into Santander and received £6,246.65. But I used NatWest and only got £6,042.65.

NatWest is pulling the plug on my Your Points credit card rewards  - is it allowed to do that and can customers fight back?

A NatWest bank in Spinningfield in Manchester, as NatWest opens 1,200 branches across the country today for the first time ever, as the bank clears a massive backlog of payments caused by a computer glitch. 

PRESS ASSOCIATION Photo. Picture date: Sunday June 24, 2012. Stephen Hester, chief executive of NatWest owner RBS, yesterday issued a public apology for the technical hitch and conceded the bank had let down its customers. See PA story MONEY NatWest. Photo credit should read: Martin Rickett/PA Wire

I got a letter yesterday informing that the NatWest Your Points incentive scheme is to be terminated. Is there any way to fight back?

How to start saving or investing into an Isa - the essential guide to a tax-friendly pot

Cash Isas: The new financial year starts on 6 April

How to save safely with banks and building societies: savings compensation rules

Weightlifting

We explain the rules on savings compensation, updated as they change, and how to keep your money safe by not putting too much savings with one bank

Savings compensation - who owns my bank? A comprehensive list of bank ownership and licences

Protected against a bust: Make sure your savings are safe by not putting more than £85,000 into each authorised bank

The way you spread out your savings with banks is crucial in terms of protection and compensation. We show you how to get protected.

How to get a better deal from your bank

Directions: Which way to turn to get the best deal from your bank

This week, the Independent Commission on Banking told how consumers get poor value from their bank. Yet we move our current account just once every 26 years. We tell you how to get a better deal.

Our savings picks: This is Money's five favourite best buy cash Isas for 2014

"No smoking" sign on a wall --- Image by © Christopher Stevenson/Corbis

We pick our five favourite cash Isas for savers. This is essential Isa reading and is kept up-to-date throughout the year

Types of savings account

A saver dropping a pound coin into a piggy bank

Guide: The array of deposit accounts can be confusing. We explain them all and reveal the best and safest rates and accounts

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