Leeds to launch new fixed rate ISA
A 1.45% pa/AER* four year ISA is being added to Leeds Building Society’s fixed rate tax-free† savings range.
The new ISA will be launched on Friday, 7th April, as the new 2017/2018 financial year begins.
“This complements our five year fixed rate ISA, which has been popular with savers since we launched it last month,” said Richard Fearon, Leeds Building Society’s Chief Commercial Officer.
“All our fixed rate ISAs pay above 1%, more than four times the current Bank Base Rate, and we’re active in all key fixed rate terms so savers can choose the rate and length of time they’re willing to fix.
“The Society accepts transfers in of previous years’ ISA subscriptions so savers can maximise the benefit of receiving their interest tax-free.”
Leeds Building Society’s existing range of fixed rate ISAs includes:
- 01% tax-free† pa/AER* one year fixed rate ISA
- 15% tax-free† pa/AER* two year fixed rate ISA
- 20% tax-free† pa/AER* three year fixed rate ISA
- 60% tax-free† pa/AER* five year fixed rate ISA
The Society’s fixed rate ISAs have a minimum investment of £100 and it also offers a range of variable rate ISAs paying up to 0.90%.
Notes to Editors
†Tax-free means that interest payable is exempt from income tax.
Separate from ISAs, the introduction of the Personal Savings Allowance on 6th April 2016 means basic rate taxpayers can earn up to £1,000 in savings income tax-free. Higher rate taxpayers can earn up to £500.
*AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and added each year.
The ISA subscription limit for the 2017/2018 tax year is £20,000, less any amount invested in a Stocks and Shares ISA in the same tax year.
1.45% four year fixed rate ISA (Issue 5)
- 45% tax-free† pa/AER* four year fixed rate ISA
- Minimum Investment £100
- Maximum investment is £20,000 in 2017/18, plus previous years’ ISA subscriptions
- Interest is paid annually on 4th May (commencing 4th May 2018) and on maturity (4th May 2021)
- On maturity on 4th May 2021 the account reverts to a variable rate instant access ISA account
- Withdrawals subject to 300 days’ loss of interest
- Can be opened online, in branch or by post, and operated in branch or by post
Leeds Building Society won the awards for Best Building Society Savings Provider and Innovation in Personal Finance (Part and part mortgages) at the 2016 Moneyfacts Awards.
Leeds Building Society operates throughout the UK, Gibraltar and Ireland and has assets of £15.9bn (at 31st December 2016). The Society’s head office has been based in the centre of Leeds since 1886.