Savers switch ISA’s in record numbers

Savers switch ISA’s in record numbers February 16

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Holders of Individual Savings Accounts (ISA’s) have started to search the market for the best deals, according to new figures from ICM research.

Around 900,000 consumers have already decided that they can get a better deal on their ISA with another provider and have moved their money, says the report commissioned by Intelligent Finance.

Meanwhile, seven per cent of savvy savers think that they will change to a different provider sometime in 2007 - which is a substantial increase on the two per cent who considered switching in 2004.

Older consumers are most aware of how to make money work for them, with 16 per cent planning to move their funds this year.

Mark Parker, managing director of Intelligent Finance, said: “An ISA provider is not necessarily for life and the message that you can move your money is getting through to savers.”

“To get a consistently competitive offering, an ISA with a guaranteed rate ensures peace of mind regardless of changing interest rates,” he added.

The main benefit of holding an ISA is that it is exempt from tax.

Written Exclusively by AdFero for ISA Guides

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