What are the current Virgin Money Cash ISA rates?

Remember, the big high-street banks don’t always offer the most competitive rates. To maximise your interest, take a look at our guide to the Best Cash ISAs in the UK.

What are the current Virgin ISA rates?

Virgin Money currently offers four Cash ISA saving products, ranging from easy access Cash ISAs to fixed rate Cash ISAs. These offer interest rates between 4.61% to 4.11% AER.

1. Virgin Money 1 Year Fixed Rate Cash ISA Exclusive: 4.61% AER/tax-free (fixed) for a one-year term, after which the account will automatically become an Easy Access Cash ISA Exclusive account. As this is a fixed ISA, you’ll pay a charge on any withdrawals you make, equivalent to 60 days’ loss of interest on the amount you withdraw. To be eligible for this account, you have to have a current account from Virgin Money, Clydesdale Bank or Yorkshire Bank (apart from the Essential Current Account or any account opened with Northern Rock).
2. Virgin Money Easy Access Cash ISA Exclusive: 4.51% AER/tax-free, with no withdrawal limits or charges.  To be eligible for this account, you have to have a current account from Virgin Money, Clydesdale Bank or Yorkshire Bank (apart from the Essential Current Account or any account opened with Northern Rock).
3. Virgin Money 1 Year Fixed Rate Cash E-ISA: 4.11% AER/tax-free (fixed). You will need to deposit all the money you wish to put into the account within 30 days from your account opening date. As this is a fixed-rate Cash ISA, you’ll also pay a charge on withdrawals, equivalent to 60 days’ loss of interest on the amount you withdraw.
4. Virgin Money Defined Access Cash E-ISA: Variable 4.51% AER/tax-free for first three withdrawals. If you take out your money more than three times in a calendar year, your interest rate will reduce to 2% (variable) AER after that. As this is an easy-access Cash ISA, there are no charges for withdrawals.

Source: https://uk.virginmoney.com/savings/find/results/online. Current Virgin Money rates are accurate as of October 2024.

What is Virgin Money’s best ISA rate?

Virgin Money’s current best Cash ISA rate is 4.61% (fixed) AER, which you can get by opening its 1-year Fixed Rate Cash ISA Exclusive. You’ll be charged a fee on withdrawals as this is a fixed-rate Cash ISA, which may mean it’s not suitable if you’re saving for short-term goals or you may need the money in an emergency. You will also need to have a current account from Virgin Money, Clydesdale Bank or Yorkshire Bank to be eligible (apart from the Essential Current Account or any account opened with Northern Rock).

If you’re happy to lock your money away for a full year, this could be the right ISA for you but don’t forget to compare other Cash ISAs on the market before making a decision. You may find a better interest rate with another provider.

Is Virgin a good ISA provider?

Virgin Money offers a choice of four Cash ISAs, each with competitive interest rates. However, only one of Virgin’s Cash ISAs is an easy-access account. Two of Virgin’s Cash ISAs are fixed-rate accounts, which means they charge a fee for withdrawals, equivalent to 60 days’ loss of interest on the amount you withdraw. The other Virgin Cash ISA offers an interest rate of 4.51% and lets you make three withdrawals, but your interest rate will drop to 2% if you make any more withdrawals after this.

It’s a good idea to compare Virgin’s Cash ISAs with other ISAs on the market. You could find a more competitive interest rate elsewhere and better customer service too.

If you’re saving for your first home, you’ll find it easier to save a deposit with the help of a Lifetime ISA (LISA). Save up to £4,000 a year in your LISA and your savings will be boosted by a 25% bonus from the government up to £1,000. This means that if you max out your LISA every year for 5 years, you’ll have a sweet £25,000 deposit towards your first home. 

If you’re able to save more than £4,000 each year, you could place any additional savings in a Cash ISA. You won’t get the government bonus on the funds held outside your LISA, but at least all your ISA savings will be tax-free!

Take a look at our guide to deposits.

Can I have two ISAs with Virgin?

You can have two ISAs with Virgin Money, but only one of them can be a Cash ISA. You could also open a Cash ISA with another provider, which may offer a competitive interest rate or other benefits. If you’ve already got a Virgin Cash ISA but you’d like a better interest rate, you can transfer it to another provider. Just remember that your cannot save more than £20,000 per tax year across all your ISA accounts, which includes those held with different providers.

Will Virgin increase ISA rates?

Virgin might increase its ISA rates, but it may lower them instead. ISA providers set their Cash ISA rates based on what is happening with the wider market. If the Bank of England changes the base rate, banks and building societies often change their rates too, but this isn’t always the case. If you already have a fixed rate Cash ISA with Virgin, your interest rate will stay the same for the remainder of your fixed term, even if Virgin does make changes to its ISA rates.

Learn more: Cash ISA or Lifetime ISA. Which one should I pick?

How to find the best Cash ISA Rates

You can make the most of your money and achieve your savings goals faster by comparing the best Cash ISA rates from across the market. There are so many providers to choose from, including traditional high-street banks, neo-banks and building societies. Getting a competitive interest rate can make a big difference to your savings, but don’t forget to compare customer service quality too as well as how easy it is to access your money and whether the provider offers bonuses or rewards. 

At Tembo, our customers can manage their savings on our award-winning savings app. There’s also saving tips and tricks, and each customer is automatically entered into our monthly £1,000 cash giveaway!. You can expect amazing customer service too. We’re rated Excellent on Trustpilot!

How to transfer my Virgin ISA to another provider

Transferring your Virgin ISA to another provider couldn’t be easier. Simply open a new ISA and ask your new provider to move the money for you. Whatever you do, don’t try to complete the switch yourself. Moving the money yourself could have an impact on your savings’ tax-free status and this year’s ISA allowance. 

For example, if you’ve saved £30,000 in a Cash ISA over a number of years and you’d like to transfer your savings to a new provider, doing the transfer yourself could use up your full £20,000 ISA allowance for this year. You’d then need to wait until the following tax year to move the remaining £10,000 into your Cash ISA. Until then, you’d need to keep the money in a traditional savings account, where your interest would be taxed, and you may get a lower interest rate.

The good news is you can protect your savings’ tax-free status and preserve any remaining ISA allowance for this year by asking your new provider to complete the transfer for you.