Best Isa Fixed Rates - Our Guide

Fixed-term cash ISAs are accounts which you open for a set period of time, normally between one and five years with a pre-agreed rate of interest.

Fixed rate cash ISAs tend to pay higher rates of interest than easy access or notice ISAs, and unlike with a variable rate account, the interest rate cannot change during the fixed term.

It is essential that you consider whether you can commit your money for the full term, as early access will usually result in a hefty penalty and sometimes also may result in closure of the account. That being said, even if you need to withdraw early, fixed rate ISA’s can still make you money. It is a good idea to check the terms and conditions before you commit.

You can hold more than one cash ISA at a time, but you can't open more than one per tax year. You can only invest up to the maximum ISA allowance per tax year, but it is possible to transfer funds from previous years without limit.

Tax advantages will depend on your individual circumstances and may change in the future.

You'll want to pick the term of your ISA based on when you may want access again. If you think rates will rise in the near future, you may want to go for a one-year ISA, whereas if rates are likely to go down, you’ll want to secure your rate for as long as possible.

Our Top Picks For Fixed Rate Cash ISA’s

Charter Savings Bank at 0.61% - 1 year rate

Charter Savings Bank 0.72% - 2 year rate

RATE (AER VARIABLE):

Ford Money: 0.65% (min £1)

Scottish BS: 0.6% (min £1)

Kent Reliance: 0.6% (min £1,000)