This comparison simply includes all savings accounts.
NatWest Fixed Rate ISA
Why we like it: No notice period. Deposit from £100. Interest paid monthly or annually. Apply in minutes.
Why we like it: Open with £1. Unlimited deposits and withdrawals. Open an account singly or jointly. Interest can be paid monthly or annually. Eligible deposits covered by UK FSCS.
Why we like it: Earn 1.00% gross/AER on balances from £1,000 to £1 million. Unlimited withdrawals without restriction or loss of interest.
Why we like it: Unlimited deposits and withdrawals. Save from £1,000 to £250,000. Interest paid monthly. Eligible deposits covered by UK FSCS.
Why we like it: 6 month term. Interest can be paid monthly or annually. Minimum deposit £500, Maximum deposit £250,000. No withdrawals permitted. FSCS Protected
Why we like it: Minimum deposit £500. Open an account singly or jointly. Interest can be paid monthly or annually. Eligible deposits covered by UK FSCS.
Why we like it: Interest can be paid monthly, quarterly or at maturity - Minimum deposit £1,000 - Maximum deposit £200,000 - No withdrawals permitted - FSCS Protected
Why we like it: 3 year term. Interest can be paid monthly or annually. Minimum deposit £500, Maximum deposit £250,000. No withdrawals permitted. FSCS Protected
Why we like it: 4 year term. Interest can be paid monthly or annually. Minimum deposit £500, Maximum deposit £250,000. No withdrawals permitted. FSCS Protected
Why we like it: 5 year term. Interest can be paid monthly or annually. Minimum deposit £500, Maximum deposit £250,000. No withdrawals permitted. FSCS Protected
NatWest Fixed Rate ISA
NatWest, offer two kinds of tax-free ISA. Their Fixed Rate ISA and their Instant Cash ISA. Their Fixed Rate ISA allows you to:
- Have a fixed interest rate on your cash ISA so you know in advance what your savings will earn
- Choose a term that suits you, either one or two years
- Keep all the interest - which helps your savings grow faster
- Make transfers into the ISA, so you can bring all your ISAs together in one place
- You will earn a higher rate of interest on the two year plan and for any amount above £25,000
Useful to Know
As this is a fixed rate ISA, you cannot withdraw your money during the agreed term. If you do choose to withdraw your money then you incur an early closure charge. They offer both one year and two year terms so be sure to pick one that’s right for you. Also:
- The minimum deposit is £1,000
- The early closure charge is the lower of the amount of interest earned on your account in 90 days.
- You will need your National Insurance Number to apply for any ISA.
NatWest is one of the few banks that offer a fixed rate of ISA for one year, as many offer a two year minimum and some up to five year minimums. For many people this time frame isn’t convenient and so NatWest are offering an easy way for savers to take the plunge and begin their savings.
As NatWest is part of The Royal Bank of Scotland Group, you will find that they offer the same accounts and rates. However, they do not currently offer the highest rate of interest on the market.
Why use an ISA?
An ISA is a tax efficient way to save and stands for Individual Savings Account. An ISA lets you pay little or no tax on the interest of your savings and investments, making them a popular choice for saving large amounts of money.
They have become less popular since the new PSA (Personal Savings Allowance) has allowed lower rate tax payers to save up to £1000 tax-free and higher rate tax payers up to £500. As many current accounts are now offering competitive rates of interest, many people are moving away from ISAs.
As your tax-free amount is much higher in an ISA, there are still opportunities for savers to make the most of their money and this fixed rate account is a great option.
