Rosie Murray-West
Published December 3, 2025 8:00am
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Here’s how best to switch your Isa (Picture: Getty/Metro)
Metro’s weekly column, Where to Invest, is for anyone looking for fresh ideas and insight into where they might put their savings.
This week, we are going to deep dive into how to navigate a cash Isa, and how to change your account if you want to.
If you’ve opened a cash Isa in recent years but not looked at how much it is paying, chances are you could switch your money and get a better deal, Metro’s personal finance expert Rosie Murray-West explains…
High-paying accounts tend to see a dramatic drop in interest rates after a year, with old Isa accounts from high street banks now paying as little as one per cent interest.
Here’s everything you need to know about switching your Isa (Picture: Getty Images)
Fortunately, you don’t have to leave your savings languishing in these poor paying accounts, you can switch them to providers offering far higher rates without losing the tax-free status of your money or eating into this year’s Isa allowance.
It is important, however, that you use the correct process when moving accounts.
‘Ensure that the transfer is done via an Isa transfer rather than withdrawing and re-depositing funds, as doing so would cause you to lose your tax-free benefits,’ says Interactive Investor’s personal finance specialist Myron Jobson.
Here’s your step-by-step guide to getting it right.
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Previous Page Next PageStep 1: Find the right Isa account
You need to find the account that suits you (Picture: Getty Images)
There are many competitive Isa rates on the market at the moment, but not every account allows you to transfer in your old Isa. You need to find an account that suits you, whether that is a cash Isa that is available at any time, one with a fixed rate for a time period, or an Isa that allows you to invest in stocks and shares.
You also need to check that it will allow you to put in your money from previous years.
Many high-paying cash Isas do accept transfers in, and you can transfer stocks and shares Isas into cash Isas and vice versa. Some high-paying products at present include Chip’s easy access cash Isa, paying 5.25 per cent, or the Close Brothers 4.43 per cent three-year cash Isa if you would like to lock in a higher interest rate for longer.
With stocks and shares Isas the process can take longer, as investments may need to be sold, and there may be charges. Switching your cash Isa is usually free and you can choose to transfer all or some of your old Isa balance to a new provider.
Step 2: Open the new Isa product and complete a transfer form
The crucial step when transferring your Isa is to open the new account first. In order not to lose the tax-free status from your old Isa, you will need to ensure the money is transferred correctly.
You will need to make ensure the money is transferred correctly or you could lose your old Isa’s tax-free status (Pictire: Getty Images/iStockphoto)
Your new provider should allow you to complete a transfer form with the details of your old Isa, including account number and sort code. It will then request the transfer from your old provider.
Step 3: Wait for your Isa transfer
Transfers between cash Isas should take no more than 15 working days, and after that the money should be in your new account and earning a better rate of interest. Transfers from stocks and shares Isas can take up to a month.
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If your transfer takes longer than this then you can complain to the provider and, if you are unhappy with its response, to the Financial Ombudsman Service, which can order a bank to compensate you for poor service.
Step 4: Make a calendar note
Many Isa rates come with a bonus that lasts for a year, or have a good rate for a fixed term before dropping. Make a note in your calendar now of when the bonus runs out or the rates drop so that you can transfer your Isa again at that point to receive a good rate.
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