Fixed rate ISA bond from Nationwide for the over 50s

Nationwide Building Society has launched a new 3 year Fixed Rate ISA Bond for savers who will be 50 or more before 5 April 2010.

The new Fixed Rate ISA Bond will be available from Tuesday 6 October – the day  the ISA limits increase for the over 50s.

The 3 year 50+ ISA Bond will have a fixed interest rate of 4% gross p.a./AER.

Andy Hutchinson, head of Savings at Nationwide, commented ‘The launch of Nationwide’s new 50+ Fixed Rate ISA Bond is great news for new and existing customers who are looking to take advantage of the new increased annual ISA allowance.

Eligible savers should also remember that they can move an existing ISA balance from a different provider to any one of the cash ISAs available through Nationwide.’

The new ISA limits which come into force tomorrow for the over 50s mean that up to £5,100 can be saved in a cash ISA and the remaining balance in a stocks ans shares ISA.

Alternatively, the full £10,200 allowance can be invested in a stocks and shares ISA, or the balancing amount up to £10,200 if a partial investment in a cash ISA has already been made.