Fixed-rate ISA calculator: Should you switch to a better rate?

A fixed-rate ISA means you can lock in a certain savings rate for a certain amount of time – giving you the stability and reassurance of a set amount of interest. But, it’s harder to withdraw money than with an easy access savings account and, if you spot a better deal, you’ll likely have to pay a penalty to get out early.

Our fixed-rate ISA calculator estimates whether paying the get-out penalty on your existing fixed-rate ISA is worth it to open a new one at a better rate.

Your existing fixed-rate ISA
£
%
years
months
days
or
£
The ISA you're considering switching to
%
Use the fields above to estimate whether you would benefit or lose out by switching to a new fixed-rate ISA.

How does our calculator work?

1. Enter the current balance in your fixed-rate ISA.

2. Enter the interest rate on your fixed-rate ISA.

3. Add how long is left on the fixed term (e.g 1 year 2 months or 0 years 7 months).

4. Add your specific penalty – either the days of interest (e.g. 90 days) OR the fee as a fixed number (e.g. £50). You can check the penalty with your account provider if you are unsure.

What does the result mean?

The calculator will tell you how much you could make or lose by switching, and therefore whether it’s worth paying the penalty.

It also breaks down how much you would earn in interest from the current ISA, the penalty you’d pay for transferring, and how much you’d earn in interest from the new ISA so you can see how you’d either make or lose money.

The calculator assumes that interest is compounded monthly and there is no delay in transferring funds. It’s an estimate, so you should always check with the provider directly.

How does a fixed-rate cash ISA work?

With a fixed-rate ISA, the provider promises to pay the agreed rate of interest for a set period as long as you keep your money in the account. Common lengths for a fixed-rate ISA include 1 year, 2 years, 3 years and 5 years. If you choose to withdraw before the end of the fixed term, you will typically have to pay a penalty fee.

Like other types of cash ISA, you don’t pay any tax on the interest you earn, but there is a limit to the amount you can place into any ISAs in a tax year. For the 2025/2026 tax year, the ISA allowance is £20,000.

What is the personal savings allowance?

For the 2025/2026 tax year, the personal savings allowance is as follows:

  • Basic-rate taxpayers: Earn up to £1,000 in interest on savings per year without paying tax.
  • Higher-rate taxpayers: Earn up to £500 in interest on savings per year without paying tax.
  • Additional-rate taxpayers: There is no personal savings allowance, so you will be taxed on all savings interest.

What are the tax benefits of an ISA?

Our personal savings allowance calculator shows whether you could benefit from moving some of your savings into an ISA. This will be the case if you earn more interest than your personal savings allowance and are therefore paying tax.

When interest rates are high, it can be easier to go over your personal savings allowance, so you might want to consider an ISA.

Click here for more research. For all media enquiries, please contact –

Matt Mckenna
UK Head of Communications
T: +44 20 8191 8806

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Head of publishing

Chris Lilly is Head of publishing at finder.com. He's a specialist in personal finance, from day-to-day banking to investing to borrowing, and is passionate about helping UK consumers make informed decisions about their money. In his spare time Chris likes forcing his kids to exercise more. See full bio

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Chris has written 540 Finder guides across topics including:
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Senior content marketing manager

Sophie Barber is a senior content marketing manager for Finder in the UK. She has over 5 years experience in writing and publishing clear, concise and informative articles that help consumers make informed decisions. See full bio

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Sophie has written 90 Finder guides across topics including:
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