Individual Savings Account
An ISA (Individual Savings Account) is a potentially tax efficient way to save which was introduced by the Government to encourage more of us to save our money. You receive favourable tax treatment from the Government, so you don’t have to pay tax on the interest or any return on your investment.
With an ISA any interest or any return on your investment is free from personal liability to Income and Capital Gains tax. Each tax year you will have an allowance for the total amount you can save. It’s in your interest to make the most of the allowance otherwise you lose it and can’t carry it over to the following year.
The value of the tax advantages of an ISA depends on your personal circumstances and tax rules can change.
ISA options available to you:
There are two types of ISA: Cash ISAs and Investment ISAs. UK residents aged between 16 - 49 can save up to £3,600 per tax year in a Cash ISA Saver. From 6th October 2009 you can save up to £5,100 per tax year if you were born on or before 5 April 1960.
You can invest up to a total of £7,200 in an Investment ISA or spread the full 7,200 across the two separate ISA types (subject to maximum of £3,600 in a Cash ISA). From 6th October 2009 , you can invest up to a total of £10,200 in an Investment ISA or spread the full £10,200 across the two separate ISA types (subject to maximum of £5,100 in a Cash ISA) if you were born on or before 5 April 1960.
Cash ISA Saver
A flexible way to save that helps you make the most of your ISA allowance. Open with as little as £1, and earn 2.00% AER / tax-free**. It’s easy to open, and because it’s an ISA, you won’t pay any tax on the interest you earn.
Fixed Rate Cash ISA
Make the most of your tax-free savings by opening a Fixed Rate Cash ISA. Earn up to 3.20% AER/Tax Free on balances of £30,000 or more fixed for 12 months from account opening. 1.5% AER/Tax free on balances of £3,000.
Capital Protected Fund ISA
You can invest anything from £3,000 up to your full ISA allowance of £7,200 (or £10,200 if you’re aged 50 and over) with our Capital Protected Fund ISA managed by Scottish Widows.
Share Dealing ISA
Open a Share Dealing ISA online today with Lloyds TSB and make the most of your full £7,200 annual allowance (£10,200 if you were born on or before 5 April 1960). Choose to manage investments from a range of shares, discounted unit trusts and tax free investments such as gilts and bonds.
Please remember that the value of your investment can go down as well as up and if you cash in your investment early, you may get back less than originally invested.
Lloyds TSB Bank Plc Registered office: 25 Gresham Street London EC2V 7HN Registered in England & Wales no. 2065.Lloyds TSB Scotland Plc Registered Office: Henry Duncan House, 120 George Street, Edinburgh EH2 4LH. Registered in Scotland no.95237. Authorised & regulated by the Financial Services Authority and signatories to the Banking Codes. We are members of the Financial Services Compensation Scheme and the Financial Ombudsman Service.
Tax rules may change. Tax-free is the contractual rate of interest payable where interest is exempt from income tax.
The Lloyds TSB Cash ISAs do not meet the requirements of a deposit-based stakeholder product.
AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and compounded once each year. As every advertisement for a savings product, which quotes an interest rate, will contain an AER you will be able to compare more easily what return you can expect from your savings over time.
