What is an ISA?

An ISA (Individual Savings Account) is a tax-free way to save or invest. If you’re starting to think about saving or investing, ISAs could be a good place to begin.

On other savings accounts, you may have to pay income tax* on the interest you earn. The interest on a cash ISA is free from tax, so all the interest you earn, you keep. Stocks & Shares ISAs also have tax benefits .

What is the ISA allowance?

Each tax year, which starts on 6 April, you get a new ISA allowance. For the tax year 2017/18, the ISA allowance is £20,000. Nationwide offers cash, Stocks & Shares and Junior ISAs (where there is an annual allowance of £4,128). You can also save into an Innovative Finance ISA or Lifetime ISA (with an annual allowance of £4,000),

What is ISA flexibility?

ISA flexibility means you can take money out of your cash ISA and replace it in the same tax year, without it counting towards your annual ISA allowance.