Fixed rate savings

Saga 1 Year Fixed Rate ISA

A tax free fixed term savings account to provide you with peace of mind. For the over 50s.

Applications for tax year 2016/17 must be returned by 5th April 2017.

Call to speak to an adviser

0345 850 0664 

Mon – Fri 8am - 8pm

Saga Savings accounts are provided by Birmingham Midshires FSCS 

How does it work?

Saga Fixed Rate ISA's are great for people who are happy to save their money over a set period to receive a better rate. Our rates may change, to guarantee this rate apply today. 

We are currently offering a 1 year fixed term ISA.

Apply today to secure your rate:

1 Year Fixed Term ISA

 Monthly interest
 Yearly interest

£1+

1.00/1.00%

Tax free/AER

£1+

1.00/1.00%

Tax free/AER
Withdrawals permitted subject to a charge.
From 6 April, you can withdraw and replace funds within the same tax year without effecting your yearly ISA allowance providing your Fixed Rate ISA is still on offer.

How can it help

You may be saving for something special, or perhaps you’d like to supplement your income with the interest from your savings. Either way, a Saga 1 Year Fixed Rate ISA might be a good solution for you.


See our summary tables below for more information on each account option.

Summary Box

Account name

Saga 1 Year Fixed Term ISA

What is the interest rate?

We pay a fixed rate of interest on this account, as shown in the table below.

  Annual Interest Monthly Interest
Balance Tax Free / AER Tax Free / AER
£1+ 1.00% 1.00%
  • For the latest information about interest rates, please visit saga.co.uk/savings
  • Interest is paid either annually on the anniversary of the first deposit, or monthly on the first bank working day of each month
  • Interest can be added to the account, or paid to another bank or building society account. Annual interest on terms of 1 year or less will be added to this account prior to maturity.

Can the interest rate change?

No. This account has a fixed rate of interest. This means we will not change your interest rate during the term.

What might the future balance be?

Below is an example of what the future balance might be, after interest has been paid.

  Annual Interest Monthly Interest
Illustrative Initial Deposit Tax Free / AER Illustrative Balance at 12 Months Tax Free / AER Illustrative Balance at 12 Months
£1,000  1.00% £1,010.00 1.00% £1,010.05

This example assumes that:

  • You don't withdraw any money and interest isn't paid out of the account,
  • You make your initial deposit payment on the day you open the account and you don't make any further deposits.

How do I open and manage my account?

  • You can open your account by phone or online, however, you can only manage your account by phone or by post.
  • You can only open an account in a sole name. 
  • You must be 50 or over and a UK resident for tax purposes.
  • The minimum opening deposit is £1.
  • The yearly ISA allowance applies, which means the maximum you can subscribe into a Cash ISA is £15,240 less any amounts invested in any combination of permitted ISAs within the same tax year. You can also transfer an existing ISA to us.

Can I withdraw money?

  • If you take money out of an Account you will pay a withdrawal charge. The withdrawal charge depends on  the remaining term of the Account and is the equivalent of a number of days’ tax free interest on the amount withdrawn. The charges are: 1 year or less: 90 days loss of tax free interest. If you close your account early you may get back less than you originally deposited. 
  • At the end of your Fixed Rate ISA term, your account will change into a variable rate Saga easy access ISA account of our choice. We will contact you before this happens. 
  • A variable rate means your rates can go down or up at any time. 
  • For the latest rates, please visit saga.co.uk/savings.
  • Any money moved out of your ISA will lose its tax-free status. 
    Tax treatment depends on your individual circumstances and may change in future.
Additional Information
  • This is a flexible ISA, so if you make a withdrawal, you can pay that money back into this account before the end of the same tax year without affecting the amount you can save in your cash ISA tax free. You can do this as long as we continue to sell this Fixed Rate Cash ISA.
  • Tax free is the contractual rate of interest payable where interest is exempt from income tax.
  • AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and compounded once each year.  As every advertisement for a savings product which quotes an interest rate will include an AER, it makes it easier for you to compare what return you can expect from your savings over time.

Withdrawals explained

You may request withdrawals by post, subject to a charge. 

The charge will depend on the remaining term of the account and is the equivalent number of days' tax free interest. We’ll deduct the charge from your account balance.
Depending on when you make the withdrawal, this may result in you getting back 
less than you originally deposited. We apply charges as follows (equivalent in days’ tax free interest):
  • Less than 1 year remaining on term = 90 days charge

Close

Am I eligible?

To be eligible for a Saga 1 Year Fixed Rate ISA you must be:

  • a UK resident for tax purposes
  • aged 50 or over.

Frequently asked questions

Can ISAs be transferred?

If you have already saved in a cash ISA for this tax year but would still like to save in the Fixed Rate ISA, you can do so by transferring all of your current tax year subscriptions into the Fixed Rate ISA. You can also transfer in some or all of your previous tax years’ subscriptions. Please check with your current provider if there are any transfer costs.

• You can transfer funds held in a stocks and shares ISA or innovative finance ISA into a cash ISA. Your current stocks and shares ISA/innovative finance ISA manager may impose exit charges or other costs associated with transfer. You will be responsible for paying these charges so please check with your current provider.
• If you are transferring from a stocks and shares ISA, the investments you currently hold in this will have to be sold. It is possible that you could lose out if there is a rise in the market whilst the transfer is being completed and Saga Savings does not accept liability for any such loss.
• You will only be able to transfer into a Fixed Rate ISA as long as the issue remains open.
• You can transfer from this ISA to an ISA with another provider. If you have made a withdrawal from a previous years’ subscriptions and not replaced them before you ask to transfer your whole balance and close your account, you will not be able to replace these funds once the ISA transfer process starts. This will reduce the amount of money you are able to save tax free in your Account.

What is the maximum deposit allowed?

You can deposit the maximum 2016/17 ISA allowance and transfer previous years' ISA's. You can also replace any money withdrawn from this ISA within the same tax year without impacting your ISA allowance providing we are still offering this account.

Can I choose how interest is paid?

Your interest is calculated daily and you have a choice of interest options. If you have chosen to receive interest monthly, this will be paid on the first day of each month and can be paid to your Account, to another Saga Savings account or to another bank or building society account. If you have chosen to receive interest yearly, this will be paid 12 months after the date we credit your Account with your opening deposit, or if that is not a bank working day, the first bank working day after that. Interest can be paid into your account, to another Saga Savings account or to another bank or building society – you will make this choice when you open your Account. Interest payments to non Saga Savings accounts will reach that other account by the end of the next bank working day. Interest paid to another account can be replaced in the same tax year by replacement subscriptions to your Account. Annual interest for terms of 1 year or less will be paid back into your account.

Are there withdrawal charges?

Yes. Please refer to our Account Summary for more information.

Is there a limit to the number of withdrawals I can make?

No, however, withdrawals are subject to the charges listed under Withdrawals explained above.

How will my interest be paid?

We can pay interest to another Saga account or to another bank or building society account. Just let us know where to pay your interest when you open your Account. Interest payments from a Saga Savings account to another bank or building society account will reach the other account on the next bank working day. Please contact us on 0345 850 0664 for more information. For terms of 1 year or less yearly interest must be paid back to the account at the end of the term.

Can I cancel my account?

For fixed rate ISAs, there is a 14 day cancellation period.

Important information

Payment of interest

If you choose yearly interest we’ll calculate it daily and pay you on the anniversary of your deposit. We can pay yearly interest back into the account, to another Saga Savings account or to another UK bank or building society account that accepts faster payments. Please note that where the term of the account is for 12 months or less, we must pay yearly interest into the Account. Please see the Account conditions for more information.

If you choose monthly interest we’ll calculate it daily and pay it monthly on the first day of each month. Monthly interest can be paid to your account, to another Saga Savings account or to another bank or building society account that accepts faster payments. Interest paid to another account can be replaced in the same tax year by replacement subscriptions to your Account.


Cancellation Period

Saga Fixed Rate ISAs have a 14 day cancellation period.


Notice of maturity

We’ll write to you prior to your account maturing to give you instructions on what to do next. If we receive no reinvestment instructions, we’ll re-invest your funds at maturity into a variable rate easy access ISA of our choice.


Conditions

Please read the General Savings Conditions together with the Account conditions.

If there’s any conflict between the General Savings Conditions and the Account Conditions then the Account Conditions shall have priority. The General Savings Conditions apply to all Saga Savings accounts provided by Birmingham Midshires.

To view the General Savings Conditions you'll need Adobe Acrobat Reader.


Fees and charges

Account withdrawal

Please refer to the “Withdrawals explained” section near the top of this page.

Telegraphic Transfer

We can make a same day transfer of money from your account directly to another UK bank account electronically. This costs you £35 and we’ll require your instruction in writing no later than 2pm Monday to Friday. 


Financial Services Compensation Scheme

Read full details of the Financial Services Compensation Scheme.


Historical Rates

Review the historical rates of previous savings products


Privacy Policy

Read our full privacy policy.

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