Virgin Money increases interest rate on fixed cash ISA and earns ‘excellent’ rating

Commenting on the deal, Eleanor Williams, finance expert at Moneyfacts, said: “Savers who are yet to use their tax-free savings allowance might be tempted by the One Year Fixed Rate Cash E-ISA Issue 555 from Virgin Money.

“Following a rate increase of 0.10 percent this week, this ISA now pays 3.95 percent yearly, which sees it improve its place in the top 10 when compared to others currently on offer with similar terms.

“Another feature which may boost the appeal of this ISA further is that there is an element of flexibility for savers, as earlier access is permitted, however, this is subject to a loss of interest penalty.”