Fixed Rate Cash ISA



Up to 2.10% tax-free/AER fixed

Get a great rate for a term of your choice - one, two or three years.

Key features:

  • Tax-free: pay no tax on the interest you earn
  • A great tax-free savings rate: know exactly how much interest you’ll earn
  • A choice of fixed terms: choose the term that suits you
Post Office Fixed Rate Cash ISA is provided by Family Investments. Money in Post Office Cash ISAs is deposited with the Bank of Ireland UK.
The tax advantages of the Fixed Rate Cash ISA depend on your individual circumstances and the tax treatment may change in the future.

How it works

You pick the term you’d like to save for. Choose from:

  • 1 year at 1.70% tax-free/AER fixed
  • 2 years at 1.95% tax-free/AER fixed
  • 3 years at 2.10% tax-free/AER fixed

You decide how you’d like to invest:

a) Open with a single deposit from £500 to £15,000 (subject to any stocks and shares ISA contributions). Investing in a cash ISA will reduce the amount that can be invested in a stocks and shares ISA. You can't make any additional deposits, so, if your deposit is less than the maximum you are allowed to pay in, you will lose the rest of your cash ISA allowance for the tax year.

Or

b) Transfer an existing ISA held with another provider – there is no upper limit to the value of ISAs you can transfer but it must be at least £500. Before making a decision to transfer your ISA to us, you should check whether your current provider will charge a fee.

Watch your savings grow – Interest is calculated daily and paid annually on the anniversary of the account opening. After the end of the fixed rate term, interest is paid annually in March.

Need your money before the end of the term? No additional deposits or withdrawals during the fixed term.  If you need to access your money during the fixed term you will need to transfer to another provider or close your account. If you close your ISA, your money will not benefit from the tax advantages of ISAs in the future.  Early closure or transfer is subject to a breakage charge – if the interest you’ve earned doesn’t cover this, you may get back less than you put in (see summary box - withdrawals arrangement).

Is this ISA right for you?

Right for you if
  • You want a fixed interest rate and have a minimum of £500 to invest
  • You won’t need to access your savings for the agreed fixed term
  • You want to make use of your cash ISA allowance and earn tax-free interest
Try something else if
  • You’ve already invested your full ISA allowance of £15,000 for the current tax year in a stocks and shares ISA
  • You want to add to your savings on a regular basis
  • You want to be able to access your savings whenever you need them

Take a look at our other savings options including our Premier Cash ISA

To apply you'll need to be over 16 and a UK resident.

Your savings are protected by the Financial Services Compensation Scheme. Find out how your savings are protected.

Definitions

Tax free: Tax-free means the interest paid will be free from UK Income Tax and Capital Gains Tax. The tax advantages depend on your individual circumstances and the tax treatment of your ISA may change in the future.

AER: AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and compounded once each year.

ISA: ISA is an Individual Savings Account. They are a tax-efficient way to save money as you pay no tax on the money you put into an ISA or the interest you earn. There are two types of ISA – cash ISAs with a fixed or a variable interest rate. And stocks and shares ISAs where your money is usually invested in stocks and shares. You can invest up to £15,000 between a cash ISA and a stocks and shares ISA this tax year (that's the period from 6th April to 5th April). You can only invest in one cash ISA and one stocks and shares ISA in each tax year.

0800: Calls to 0800 numbers are normally free from UK landlines but charges may apply from mobile phones. Calls may be monitored or recorded for training and compliance purposes.

0845: Call costs may vary depending on your service provider. Calls may be monitored or recorded for training and compliance purposes.

Variable: A variable rate of interest can go up or down throughout the lifetime of a savings account.

Tax-efficient: Return will be free of UK Income Tax and Capital Gains Tax.

Nominated Account: A Nominated Account is a current account that we link to your savings account so that you can transfer money between accounts safely and securely. It should be a UK personal bank or building society account in your name(s) that accepts Direct Debits/ Direct Credits.



Summary Box

Key product information for the Post Office® Fixed Rate Cash ISA

Account name Post Office® Fixed Rate Cash ISA
Interest rates AER A fixed interest rate is paid for an initial term of 1, 2 or 3 years. The fixed rates or terms on offer can change at any time. The rate you receive will be the fixed rate on offer for the term you select on the date your application is received, or if you apply at a Post Office branch, the date you hand your application in. After the fixed rate term, the interest paid will be variable.

During the fixed rate term, interest is calculated daily and paid annually on the anniversary of the account opening. After the end of the fixed rate term, the interest is paid annually in March.

Current rates can be found on the interest rates page.
Tax status Tax-free
Conditions for bonus payment No bonuses paid
Withdrawals arrangement

During fixed rate term – withdrawals are not permitted during the fixed rate term.
If you need to access your money during the fixed term you will need to transfer to another provider or close your account.

If you close your ISA, your money will not benefit from the tax advantages of ISAs in the future. Early closure or transfer is subject to a breakage charge, if you select a 1 year term the breakage charge will equal 90 days loss of interest, if you select a 2 or 3 year term the breakage charge will equal 180 days loss of interest – if the interest you’ve earned doesn’t cover this, you may get back less than you put in.

After the end of the fixed rate term – a minimum withdrawal amount will apply.
This will be £10 or the value of your ISA, whichever is less.

Access

Account details
You can obtain the current value and any other details about your Account by calling us or writing to us

Withdrawing money: You can make a withdrawal after the end of the fixed rate term by calling us or writing to us. We will either send you a cheque or pay your money into a bank or building society account you have previously nominated. You cannot withdraw money over the counter at a Post Office® branch.

For details of the Terms and Conditions that apply to the Post Office Fixed Rate Cash ISA, please see the key information pack.

Definitions

Tax free: Tax-free means the interest paid will be free from UK Income Tax and Capital Gains Tax. The tax advantages depend on your individual circumstances and the tax treatment of your ISA may change in the future.

AER: AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and compounded once each year.

ISA: An ISA is an Individual Savings Account. They are a tax-efficient way to save money as you pay no tax on the money you put into an ISA or the interest you earn. There are two types of ISA – cash ISAs with a fixed or a variable interest rate. And stocks and shares ISAs where your money is usually invested in stocks and shares. You can invest up to £15,000 between a cash ISA and a stocks and shares ISA this tax year (that's the period from 6th April to 5th April). You can only invest in one cash ISA and one stocks and shares ISA in each tax year.

0800: Calls to 0800 numbers are normally free from UK landlines but charges may apply from mobile phones. Calls may be monitored or recorded for training and compliance purposes.

0845: Call costs may vary depending on your service provider. Calls may be monitored or recorded for training and compliance purposes.

Variable: A variable rate of interest can go up or down throughout the lifetime of a savings account.

Tax-efficient: Return will be free of UK Income Tax and Capital Gains Tax.

Nominated Account: A Nominated Account is a current account that we link to your savings account so that you can transfer money between accounts safely and securely. It should be a UK personal bank or building society account in your name(s) that accepts Direct Debits/ Direct Credits.

Summary Box

Key product information for the Post Office® Fixed Rate Cash ISA

Account name Post Office® Fixed Rate Cash ISA
Interest rates AER A fixed interest rate is paid for an initial term of 1, 2 or 3 years. The fixed rates or terms on offer can change at any time. The rate you receive will be the fixed rate on offer for the term you select on the date your application is received, or if you apply at a Post Office branch, the date you hand your application in. After the fixed rate term, the interest paid will be variable.

During the fixed rate term, interest is calculated daily and paid annually on the anniversary of the account opening. After the end of the fixed rate term, the interest is paid annually in March.

Current rates can be found on the interest rates page.
Tax status Tax-free
Conditions for bonus payment No bonuses paid
Withdrawals arrangement

During fixed rate term – withdrawals are not permitted during the fixed rate term.
If you need to access your money during the fixed term you will need to transfer to another provider or close your account.

If you close your ISA, your money will not benefit from the tax advantages of ISAs in the future. Early closure or transfer is subject to a breakage charge, if you select a 1 year term the breakage charge will equal 90 days loss of interest, if you select a 2 or 3 year term the breakage charge will equal 180 days loss of interest – if the interest you’ve earned doesn’t cover this, you may get back less than you put in.

After the end of the fixed rate term – a minimum withdrawal amount will apply.
This will be £10 or the value of your ISA, whichever is less.

Access

Account details
You can obtain the current value and any other details about your Account by calling us or writing to us

Withdrawing money: You can make a withdrawal after the end of the fixed rate term by calling us or writing to us. We will either send you a cheque or pay your money into a bank or building society account you have previously nominated. You cannot withdraw money over the counter at a Post Office® branch.

For details of the Terms and Conditions that apply to the Post Office Fixed Rate Cash ISA, please see the key information pack.

Definitions

Tax free: Tax-free means the interest paid will be free from UK Income Tax and Capital Gains Tax. The tax advantages depend on your individual circumstances and the tax treatment of your ISA may change in the future.

AER: AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and compounded once each year.

ISA: An ISA is an Individual Savings Account. They are a tax-efficient way to save money as you pay no tax on the money you put into an ISA or the interest you earn. There are two types of ISA – cash ISAs with a fixed or a variable interest rate. And stocks and shares ISAs where your money is usually invested in stocks and shares. You can invest up to £15,000 between a cash ISA and a stocks and shares ISA this tax year (that's the period from 6th April to 5th April). You can only invest in one cash ISA and one stocks and shares ISA in each tax year.

0800: Calls to 0800 numbers are normally free from UK landlines but charges may apply from mobile phones. Calls may be monitored or recorded for training and compliance purposes.

0845: Call costs may vary depending on your service provider. Calls may be monitored or recorded for training and compliance purposes.

Variable: A variable rate of interest can go up or down throughout the lifetime of a savings account.

Tax-efficient: Return will be free of UK Income Tax and Capital Gains Tax.

Nominated Account: A Nominated Account is a current account that we link to your savings account so that you can transfer money between accounts safely and securely. It should be a UK personal bank or building society account in your name(s) that accepts Direct Debits/ Direct Credits.

Print and complete an application

Apply now

Small print

  • Information correct as at 12 September 2014.

  • About Family Investments

  • Family Investments is a trading name of Family Investment Management Limited (Co. No. 1915516) and Family Equity Plan Limited (Co. No. 2208249), which are authorised and regulated by the Financial Conduct Authority. Registered in England and Wales at 16-17 West Street, Brighton, BN1 2RL, United Kingdom.

  • About the Post Office
  • Post Office Limited is an appointed representative of Bank of Ireland (UK) plc which is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Bank of Ireland UK is a trading name of Bank of Ireland (UK) plc which is registered in England & Wales (No. 07022885), Bow Bells House, 1 Bread Street, London EC4M 9BE. Post Office Limited is registered in England and Wales. Registered No 2154540. Registered office is 148 Old Street, London EC1V 9HQ. Post Office and the Post Office logo are registered trademarks of Post Office Limited.

Handy info

Make sure a Fixed Rate Cash ISA is right for you

Apply

Print and complete an application

Apply now

Can we help?

For more online help

Read our FAQs

To apply:

0800 169 7500

9am-7pm, Mon-Fri

9am-1pm, Sat

Closed Sun and bank holidays

To speak to our Customer Service Team:

0845 602 3409

9am-7pm, Mon-Fri

9am-1pm, Sat

Closed Sun and bank holidays