The interest rate is the average of the five highest branch based cash ISA competitor rates, as taken and verified by Defaqto on the second Monday of each month. This interest rate will be effective from the first day of the month following its calculation.
The providers of the competitor rates are: Barclays, Halifax, HSBC, Lloyds Bank, The Co-operative Bank, NatWest, Royal Bank of Scotland and Santander. The search includes branch based instant access, limited access and notice ISAs from the eight competitors on the AER* of a £1,000 balance. To ensure a like for like comparison, certain accounts are excluded, such as fixed rates, regular savings, new money only and age-specific ISAs. For full details please see the Champion ISA terms and conditions.
*AER stands for Annual Equivalent Rate which illustrates what the interest rate would be if interest was paid and compounded once each year. Tax free is the contractual rate of interest payable where interest is exempt from income tax.