Thousands see their savings soar using my simple tip to get an incredible interest rate – YOU can do the same… but time’s running out: SYLVIA MORRIS

Savers have wised up to the importance of cash Isas so as not to get caught in the tax net on their interest.

They ploughed a huge £14.3billion into these accounts in April, 24 pc more compared to the same month last year.

Some were using up the allowance for the last tax year (which ended on April 5). Others were quick off the mark to use this tax year’s allowance as soon as possible.

Doubtless the figure was boosted by rumours the £20,000 allowance could be cut to as little as £4,000.

After a backlash led by Money Mail and the savings industry, that threat has been shelved – for now.

Leafing through the big banks’ first-half results, both Lloyds Banking Group (which includes Halifax) and Santander reported a successful Isa season.

Lloyds and Halifax revealed between them that customers opened a huge 375,000-plus cash Isa accounts.

I hope savers were taking advantage of their competitive seasonal fixed rate Isas and not their dreadful easy-access accounts.

Lloyds and Halifax hiked their one-year offering from 3.95 pc to 4.25 pc in the mid-March where it stayed for a month. It was a near-top rate in a competitive market when newer banks paid 4.5 pc at most. It is now back down at a lowly 3.45 pc for new savers compared with a top rate of 4.31 pc from Shawbrook and Vida Savings.

Santander too used the same tactic. Its one-year fixed rate cash Isa went up to 4.15 pc in March and then to 4.25 pc in April to catch the early birds making use of this year’s cash Isa allowance as soon as possible. The rate is now back down at 3.9 pc.

If you did, however, use an easy access account with them, you need to switch your money to a better paying account now. They already pay grim rates which are set to get worse following this month’s cut in the base rate to 4pc.

Santander’s Easy Access Isa Issue 25 pays just 1.2 pc. Halifax Isa Saver Variable and Lloyds Cash Isa Saver pay 1.05 pc.

HSBC Loyalty Isa pays as much as 2.5 pc but that is still below the average 2.64 pc and far behind the best rates available such as 4.38 pc from Kent Reliance, 4.31 pc from Charter Savings Bank and 4.3p c from Family Building Society.

These are likely to fall too, but they will still be much better than the big banks.

To switch your Isa, get your newly chosen provider to arrange the transfer from your rotten account for you.

NS&I bond is a winner – but be quick!

The one-year Guaranteed Bond from National Savings & Investments (NS&I) is looking increasingly attractive as rates on fixed rate bonds tumble.

You need to act quickly because if rates keep falling in what appears to be a race to the bottom, then NS&I will too.

The top rate is 4.43 pc from JN Bank followed by 4.36 pc from Atom and DF Capital at 4.35 pc.

That is very little more than the 4.18 pc on offer from NS&I.

You are basically losing out on just £17 interest a year by opting for NS&I rather than 4.35 pc elsewhere.

A growing number of providers which often appear in best buy tables pay less – Aldermore (4.16 pc), RCI (4.1 pc) Shawbrook (4.11 pc), Paragon (4.15 pc) and Virgin Money (4.16 pc).

Some are even paying less than 4pc including MBNA, Oaknorth and Tesco Bank.