ISA Accounts
Compare ISA savings
While there are hundreds of different types of ISA, they all fall into two main categories: stocks and shares ISAs, and cash ISAs.
ISAs offer a tax-efficient way to save and you can choose the level of risk to which you are willing to subject your money. In the UK, people are living for longer and, because of this, considerable strain has been placed on the government to support them. The government therefore is encouraging people to save and offering tax incentives for them to do so. Their main aim is to double the amount of people that save, with ISAs being put in place to help realise this.
What is an ISA?
An ISA, or Individual Savings Account, is a tax efficient method of saving which is simple to set up and to contribute to. You can set up an ISA in person, by phone or over the internet. One type of ISA allows you to make tax-free savings through investments. ISAs are either in stocks and shares, in cash, or a mix of the two; it is up to you how you want your money to be invested.
Can I invest in an ISA?
If you live in the UK and are over the age of 18, you can open an ISA. You cannot take out a joint ISA, but you can open one on someone else’s behalf.
How much will I be able to invest?
Due to the tax breaks on ISAs there are limits to the amount that you can invest into them:
- Stocks and shares ISA – Up to £10,200 per year
- Cash ISA – Up to £5,100 per year
- Combined ISA – Up to £10,200 per year
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