2007 is the 'year of the Isa switch'

www.moneynews.co.uk > Banking > 2007 is the 'year of the Isa switch'

2007 is the 'year of the Isa switch'

Fri 16th Feb 2007

An increasing number of people are deciding to switch their Isa account provider in order to take advantage of better tax-free savings.

That is the conclusion drawn from fresh ICM research, commissioned by Intelligent Finance, that has shown seven per cent of people with an Isa at present - almost 900,000 - are planning to change provider during the course of 2007.

Compared to 2004's total of three per cent who stated an intention to switch, a growing trend of people ready to ditch loyalty to one particular Isa provider in favour of shopping around for a new deal.

Mark Parker, managing director of Intelligent Finance, stated: "An ISA provider is not necessarily for life, and the message that you can move your money is getting through to savers.

"Better still, increasing numbers are voting with their feet and moving their money elsewhere to get a better deal."

The Intelligent Finance mini cash Isa guarantee was introduced in 2003 and aims to offer customers a rate that at least matches the Bank of England base rate.

Savers taking advantage of the Intelligent Finance mini cash Isa will receive a rate of 5.35 per cent AER/gross at present and can open an account with just £1.

Related News : Banking
	Young people 'should be taught to save'
	Families 'should plan for their children's future
	Switching bank accounts 'not as easy as banks portray'
	Brits facing finance difficulties 'should talk to their bank'
	Brits 'should utilise Isa allowances'
	Brits advised on investment options
	Children 'should be given bank accounts at 16'
	Falling inflation 'could help Brits save'
	Money worries 'are mounting for many'
	Contactless payment 'is secure and convenient'