I’ve just realise my Cash ISA is paying me a pathetic 0.5%.

I realise I can get better rates by switching outside, but I’d like to keep it all in the same place, with my current account bank.

Thing is, I can get 2% by switching it to an “E-ISA”, whereby the whole thing is managed online.

Anyone any experience of these? Aside from not being able to use face to face and telephony channels, am I putting my money in any additional risk other than a usual cash ISA?

Any ideas for normal savings accounts welcome as well (not bothered about staying with current bank for that).

Bit dull for this forum, but you seem an educated bunch in the main, so any informed views gratefully received.

Thanks very much, Rich

You can do a lot better then 2%
Look here:
http://www.moneysavingexpert.com/savings/best-cash-isa

Or here:
http://www.moneysupermarket.com/investments/isas/

Should be fine. Mine is with the halifax but I do all my banking online.

I can still phone them I think.

It makes very little difference. Online banking is safe to all practical intents and purposes. I basically have it linked to my current account so that deposits are only made from that account and any withdrawals paid into the account – makes it a bit safer.

moneysavingexpert will have a tool to compare savings accounts and more advice.

Thanks ES, I know I’m losing out by not going outside, but keeping as much of finances as I can all in one place for an attractive picture for when I apply for first mortgage (which wil be with my bank; I’m a good credit candidate, but not risking mortgage rejection and they’re a top mortgage lender, so balances out)

Jonba thanks, just the kind of first hand exp I was after – interesting about linking accounts.

Anyone with expert view as to the legalities of protection; which concerns me most? Basically, am I covered by totally different legislation by having an online-only account?