FAQs
The Government puts a cap on how much you can put into your ISA or ISAs in any tax year (from 6 April – 5 April). The ISA allowance for 2024/25 is set at £20,000. The ISA limit for Junior ISAs is £9,000 for 2024/25.
What is the cash ISA allowance for 2024-25? ›
At a glance: The ISA allowance for 2024/25 is £20,000, unchanged from the last tax year. This means you can pay £20,000 into ISAs from 6 of April 2024 to the 5 of April 2025.
What is my annual cash ISA allowance? ›
Which ISA might be right for you?
| Help to Buy: ISA (Cash ISA) | Cash ISA |
|---|
| Eligible age to open ISA | N/A | 18+ |
| How much can be saved? | £200 per month (£1,200 in month of account opening) | Up to £20,000 per tax year (2024/2025) |
| ISA allowance for the 2024/2025 tax year is £20,000 | ISA allowance for the 2024/2025 tax year is £20,000 |
5 more rowsApr 6, 2024
1.1 Increase the age for opening cash ISAs from 16 to 18 years old and over. From 6 April 2024 it will not be possible for anyone aged 17 and under to subscribe to more than one cash ISA . This is a mandatory change with transitional arrangements.
Is the 25% bonus on the lifetime ISA? ›
You must make your first payment into your ISA before you're 40. The government will add a 25% bonus to your savings, up to a maximum of £1,000 per year. The Lifetime ISA limit of £4,000 counts towards your annual ISA limit. This is £20,000 for the 2024 to 2025 tax year.
Can I put $20,000 in a cash ISA every year? ›
Yes, you can add money to your Cash ISA every year, as long as the total amount does not exceed the ISA cap for 2024/25 of £20,000. There is no cash ISA limit. If you contribute to more than one type of ISA during the same tax year, this total amount of £20,000 must be split and shared across the ISA accounts.
Can I open two cash ISAs in 2024? ›
How many ISAs can you open in a tax year? Since the start of the 2024/25 tax year, there is no limit on the number of ISAs that you can open with different providers (apart from lifetime ISAs). This means you could have a Cash ISA with us, and another with a different bank or building society.
What happens if I accidentally exceed my ISA allowance? ›
In situations where you have saved in excess of this sum in your ISAs in the tax year, you will need to discuss with your ISA providers, the removal of the excess from your ISA, incuding any interest the excess generated, and return it to you. The excess interest is taxable and should be declared. Thank you.
Is the ISA allowance hard to justify? ›
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How can I check if I have used my ISA allowance? ›
- If you have not used any of your ISA allowance for the tax year, it will show the 'Deposits allowed this year'
- If you have used some, but not all, of your ISA allowance for the tax year, it will show the 'Deposits allowed this year' and 'Deposits so far this year'
The new UK ISA will have an additional £5,000 allowance, which is on top of the existing £20,000 allowance across other types of ISAs. The goal is to encourage individuals to invest in UK assets.
When can I open a 24-25 ISA? ›
Up to £9,000 can be invested in a JISA and if you are 16 or 17 at the 5 April 2024 and do not already have a cash ISA you can also invest up to £20,000 in a Cash ISA each year until your 18th birthday. These rules end on 5 April 2026 and you will only be able to invest in an ISA if you are 18 or over.
What does Martin Lewis say about cash ISAs? ›
"For most people with fixed rate cash ISAs, I can't promise everyone, but certainly enough of you very close to the end of it should be ditching them, paying the penalty, and putting them [the money] in somewhere that pays more at the moment."
What is the difference between a lifetime ISA and a cash ISA? ›
A Cash ISA lets you save up to £20,000 each year, to be used for whatever you like. With a Lifetime ISA, you can only save up to £4,000 each tax year, and can only use the money to buy your first home, or save for retirement.
What happens if I take money out of my ISA? ›
You can take your money out of an Individual Savings Account ( ISA ) at any time, without losing any tax benefits. Check the terms of your ISA to see if there are any rules or charges for making withdrawals.
What is the ISA bonus? ›
If you already have a Help to Buy ISA
You can pay in up to £200 each month. The government will top up your savings by 25% (up to £3,000) when you buy your first home. If you are buying with someone who also has a Help to Buy ISA , both of you will get the 25% bonus.
What are the rates for nationwide ISA 2024? ›
Nationwide Building Society is today (19 March 2024) launching new issues of its Fixed Rate ISAs. The new rates are: 1 Year Fixed Rate ISA – 4.50% AER/tax-free.
What is the new allowance for the UK ISA? ›
The new UK ISA will have an additional £5,000 allowance, which is on top of the existing £20,000 allowance across other types of ISAs.
What is the interest rate for Virgin ISA 2024? ›
If any money is withdrawn from the ISA between 1 July 2024 and the maturity date on the savings product, customers will receive the standard fixed interest rate of 4.65% AER/Gross PA on their savings and the bonus interest would be lost.
