Skipton and Post Office lead moves to higher rates

3 August 2015
Rates on online easy-access accounts continue to edge up with the launch of two accounts paying 1.4% before tax (1.12% after tax).The new Skipton Limited Edition eSaver Issue 2 pays 1.4% (1.12%) and there is no initial bonus to boost the rate for the first year.Post Office Money, where the deposit taker is Bank of Ireland, also pays 1.4% (1.12%) on its new Online Saver Issue 15. But this rate includes a bonus for 12 months after which the rate drops to just 0.65% (0.52%).They join other top payers that include BM Savings, part of Halifax, at 1.6% (1.28%) with its Online Extra Issue 18. But it comes with a 12-month bonus after which the rate falls to 0.5% (0.4%). Paragon Bank Limited Edition Easy Access account pays 1.46% (1.17%), with no bonus and no withdrawal restrictions.RCI Bank - part of French automobile manufacturer Renault - pays a higher 1.65% (1.32%) on its Freedom Account. With this bank you are covered by the European deposit protection scheme for a maximum €100,000 (around £70,600).On fixed-rate bonds the top one-year rate of 2.06% (1.65%) comes from new challenger banks Charter Savings and RCI. For two years you can earn 2.35% (1.88%) with RCI Bank or 2.34% (1.87%) with Paragon Bank.On easy-access cash ISAs Virgin Money pays 1.51% tax-free but you are limited to making three withdrawals a year from your account.National Savings & Investments pays 1.5% but you can't transfer your existing cash ISAs into this account. Nationwide at 1.4% has no withdrawal restrictions and you can transfer your existing cash ISAs into its Instant ISA Saver issue 3.On fixed-rate cash ISAs the top deals include 1.75% from Shawbrook Bank for one year or 2% from Halifax, Shawbrook, Virgin Money and Skipton Building Society for two years. Coventry Building Society pays a slightly higher 2.05% fixed until 30 November 2017.

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