Skip to main content

Fixed Rate Cash ISA

Our Fixed Rate Cash ISA allows you to save up to £20,000 and earn tax-free interest in this tax year ending 5 April 2024, plus transfers in from other existing ISAs.   

Fixed interest rates

  • 18 months pays an interest rate of 4.40% Tax Free / 4.50% AER (fixed)
  • 2 years pays an interest rate of 4.35% Tax-free/AER (fixed)
  • 3 years pays an interest rate of 4.10% Tax-free/AER (fixed)

 

Summary box

Term Interest rate
18 Month 4.40% Tax Free / 4.50% AER (fixed)
2 Year 4.35% Tax Free / AER (fixed)
3 Year 4.10% Tax Free / AER (fixed)

Interest is calculated each day. Interest is paid yearly on the anniversary of opening your account and at maturity for terms of whole years (e.g. 2 or 3 years) and paid monthly and at maturity for part year terms (e.g. 18 months).

View previous rates

No, we can't change the interest rate during the fixed term of your Fixed Rate Cash ISA.

Based on a £3,000 deposit, with no deposits or withdrawals made from the account, and variable interest rates remaining the same:

Initial deposit: £3,000

Fixed Rate Cash ISA - 18 Months Interest earned at 4.40% Tax Free / 4.50% AER (fixed) £204.96
Estimated balance after 18 months £3,204.96
Fixed Rate Cash ISA - 2 Years Interest earned at 4.35% Tax Free / AER (fixed) £266.68
Estimated balance after 2 Years  £3,266.68
Fixed Rate Cash ISA - 3 Years Interest earned at 4.10% Tax Free / AER (fixed) £384.34
Estimated balance after 3 Years  £3,384.34

This is an example only and doesn't take into account your individual circumstances.

Ways to open

  • In branch
  • Online
Who can open

You must be:

  • 16 or over; and
  • A UK resident

Open with

  • £1 minimum opening balance 
  • Maximum subject to the annual ISA allowance (£20,000 for 2023/2024), plus transfers in from other existing ISA's
  • All deposits, including transfers, must be recieved within 30 days of opening your account
  • If you want to add further deposits, you can open a new Fixed Rate Cash ISA assuming you have not yet used your full yearly ISA allowance
Manage your account 
  • In branch
  • Over the phone
  • Online
  • Mobile app



Withdrawals allowed: Yes

Notice Period: None

Withdrawal charges: Yes

Term Withdrawal charge
18 Months Equivalent to 135 days’ interest on the amount taken out or transferred
2 Years Equivalent to 180 days’ interest on the amount taken out or transferred
3 Years Equivalent to 270 days’ interest on the amount taken out or transferred

For example: if you had an account with a 2 year term and took out £2,000, the charge would be the amount of interest you’d earn on the £2,000 for 180 days.

How to Withdrawl:

  • Cash
  • Bankers draft
  • Transfer to TSB current or savings account

(Service charges may apply, see our Banking Charges guide for more information)

You can withdraw and replace money from your Fixed Rate Cash ISA without it counting towards your yearly ISA allowance for that year, as long as the repayment is made in the same tax year as the withdrawal, and paid into a new Fixed Rate Cash ISA or Cash ISA Saver.

  • Accounts can only be opened in a sole name.
  • You can only pay into a cash ISA with one provider in each tax year.
  • Opening a Fixed Rate Cash ISA will limit the amount that can be invested in a stocks and shares or innovative finance ISA. To find out more about this, speak to a Partner in your local branch or call us.
  • The tax advantages depend on your individual circumstances and the tax treatment of your ISA may change in the future.
  • Your account will mature into a Cash ISA Saver (off bonus) at the end of the term. We'll contact you before this happens with your options.
  • If you aren't happy with your Fixed Rate Cash ISA, you can cancel within 14 days without charge. You'll still be able to open another cash ISA account in the same tax year with us or another provider.
  • You can also close your account after 14 days subject to the charge above, but you won't be able to open or subscribe to a cash ISA with a different provider until the next tax year.

Rates and information correct as at 08/02/2024.

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

Tax free rate is the contractual rate of interest payable where interest is exempt from income tax.



Any questions?

We’ll let you know a few months before your ISA fixed term is coming to an end.

  • On maturity your Fixed Rate ISA will mature into a Cash ISA Saver without bonus.
  • We will notify you when your ISA fixed term is coming to an end, so you're always in control.
  • Manage your Savings account online with our mobile app and Internet Banking

Important Information

The Annual Equivalent Rate (AER) shows what the interest would be if the interest was paid and added to the account once each year. It lets you compare savings accounts easily. Gross rate means that credit interest is paid without income tax being deducted. Tax-free is the contractual rate of interest payable where interest is exempt from income tax.

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

16+ and UK resident