Product Update: Cheshire ISAs

03 April 2012

In preparation for the new tax-year, the Cheshire Building Society, which is part of the Nationwide Group, is today (Tuesday 3 April) launching Issue 2 of its Direct Cash ISA and Issue 4 of its 18-month Direct Fixed Rate ISA. The new issues will enable savers to make the most of their 2012/13 cash ISA allowance (£5,640) from day one.

Direct Cash ISA – Issue 2
The rate on Direct Cash ISA – Issue 2 is 3.50% AER* tax-free (variable), which includes an introductory fixed bonus of 2.50% AER* tax-free until 31 October 2013. This rate applies to balances of £1,000 or more.

Open to new ISA subscriptions only, Direct Cash ISA – Issue 2 is available to those savers who want to use their 2012/13 cash ISA allowance straight away. Savers can open Direct Cash ISA either online or by phone and are able to make as many deposits and withdrawals as they like by post without loss of interest.

Cheshire Building Society will write to customers around a month before the bonus expires to notify them that their bonus is coming to an end.

Direct Cash ISA – Issue 2

Availability

Online or phone, manage by post

Withdrawals

Unlimited, free withdrawals

Deposits

Unlimited, up to annual cash ISA allowance

Min. opening balance

£1,000

Min. operating balance

£1

Direct Fixed Rate ISA – Issue 4
Direct Fixed Rate ISA – Issue 4 is an 18-month fixed rate cash ISA paying 4.05% tax-free (4.00% AER) on balances of £1,000 or more.

The Direct Fixed Rate ISA – Issue 4 can be opened either online or by telephone and is open to new subscriptions only. The minimum opening balance is £1,000 with a maximum balance based on the 2012/13 cash ISA allowance of £5,640.

Interest is paid on maturity and is paid back into the account. Withdrawals are not permitted during the term of the account but closures can be made subject to 180 days’ loss of interest.

Direct Fixed Rate ISA – Issue 4

Availability

Online or phone

Withdrawals

No withdrawals permitted during the term of the account. Transfers/closures are permitted subject to 180 days’ loss of interest

Deposits

Following the opening deposit, no additional deposits can be made

Min. opening balance

£1,000

Max. balance

As per maximum ISA allowance (£5,640 in 2012/13)

Direct Cash ISA – Issue 1 and Direct Fixed Rate ISA – Issue 3 were withdrawn from sale at the close of business on Monday 2 April 2012.

Notes to editors:

* AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest were paid and compounded once each year. Tax-free is the contractual rate of interest payable where interest is exempt from income tax.

  • Applications are required for all products. Further details of terms and conditions available on request.

Interest Rates

Direct Cash ISA – Issue 2

AER tax-free

£1,000+

3.50% (variable)**

£1 - £999 (variable)

0.25%

** Includes 2.50% bonus fixed until 31 October 2013.

Direct Fixed Rate ISA – Issue 4

AER

Tax-free

£1,000+

4.00%

4.05%

Apply online at thecheshire.co.uk or by phone on 0808 144 3880.

The Cheshire Building Society is a Trading Division of Nationwide Building Society.

Please note: If you are a customer looking for information on our products and services, please visit the main website.