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Flexibility means whether you have instant access to your money or not.
Some Cash ISAs for example are Notice accounts where you have to give a certain number of days notice, usually 30, 90 or 180, in order to withdraw your money. That's the bad news. The good news is that the interest rates offered are normally higher than with an Instant Access Cash ISA.
A good rule of thumb
- If your Cash ISA savings are your only savings then always go for the best paying instant access account
- But if you have access to other savings then try and choose the best interest rate even if you have to lock your money up for a few months in a notice account or even a year or more in a Fixed Rate Cash ISA bond
Another idea is to split your money, perhaps 50% instant access and the balance in a higher interest rate paying notice account.
Remember Cash ISAs are very flexible so you choose how to structure your savings.
See also
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