2 Year Fixed Rate Cash ISA

Summary box

Account Name

2 Year Fixed Rate Cash ISA

What is the interest rate?

• 4.12% Tax-free*/AER** (fixed) – Annual
• 4.04% Tax-free*/4.12% AER** (fixed) – Monthly

Interest is calculated daily. Interest can be paid annually or monthly. The term of the product is 2 years with annual interest paid on the anniversary of initial account funding. If you choose to have your interest paid monthly, interest payments will start one month after you fund the account.

If you choose monthly interest and have it paid to your nominated bank account, you will receive the monthly interest each month. If you choose to leave this interest in your savings account, the interest will be compounded over 12 months and will equate to the AER rate.

*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 paid and compounded each year.

Any time an advertisement for a savings account shows an interest rate, it will also show the AER. This means you’ll be able to easily compare the return you can expect from your savings over time.

Can Hodge Bank change the interest rate?

No, the interest rate is fixed for the term.

What would the estimated balance be after 24 months based on £1,000 deposit?

£1084.1

This is based on one initial deposit of £1,000 into the account at the time it is opened, with no further deposits or withdrawals, with interest paid annually and added to the account. This projection is provided for illustrative purposes only and does not take into account the individual circumstances of a customer.

How do I open and manage my account?

You open and manage your account online. Hodge only allow one cash ISA with us each tax year.

You will need to pay your initial deposit into your account within 14 days of account opening.

The minimum deposit for Cash ISA is £1,000 and the maximum is £20,000 in Current Tax Year (April – March).

All deposits in and out of your account must come from your nominated bank account, which you provide during your application.

To be eligible for a Hodge savings account, you must:

– be at least 18 years of age
– be living in the UK and a UK tax resident only
– hold a UK National Insurance number
– hold a valid unique email address
– hold a valid UK mobile number
– hold a UK current account in your name
– not be a US citizen (a resident, green card holder, or a US person on your worldwide income).

In addition to the above eligibility you could also be working as a Crown employee serving overseas and paid out of public revenue of the UK -typically a serving member of the armed forces or a diplomat, if you are not resident in the UK or you are married to or in a civil partnership, with an eligible Crown employee.

The maximum amount that may be held with us across all products may not in aggregate exceed £5,000,000 but we may waive this limit at our absolute discretion.

Can I withdraw money?

You can withdraw your funds/transfer out to another ISA provider/transfer in to a new Hodge Fixed Rate Bond if your funds are from a previous tax year’s subscription before maturity of the ISA however a fee is applicable for early access which is equivalent to 180 days interest.

We will email you at least 14 days before the end of your fixed term, to provide you with your options to re-invest to another Hodge product, transfer to another ISA provider or have your funds returned to your nominated bank account.

If you do not provide us with instructions on maturity of this product your funds will be automatically transferred to a low-interest ISA holding account which is designed to be a temporary account until you decide what to do with your funds.

Additional information

If, after 14 days of account opening, no money has been added to your account then we will close the account.

If you change your mind about having the account you have a 14 day cooling off period which starts from the date the account was opened.

You can’t transfer your money from other Cash ISA providers.

The treatment of your account for tax purposes will depend on your individual circumstances. All tax information is based on our understanding of current law and HM Revenue & Customs practice, both of which may change. For more information please visit HMRC website www.gov.uk and search ‘Personal Savings Allowance’.

We use a payments provider called Modulr. You may notice a reference to Modulr Finance when setting up payee details. This allows you to confirm you’re paying the correct amount and means we receive your payment more quickly.