Review of Bank of Scotland Fixed Rate ISA
As your tax-free amount is much higher in an ISA, there are still opportunities for savers to make the most of their money. It’s also important to remember that ISA allowance limits apply to everyone on an individual basis, so if you’re married or in a relationship, you can both hold your own ISA, each with the full allowance.
Bank of Scotland currently offer a range of ISAs, including: the Help to Buy government backed ISA, A Fixed Cash ISA and an Access Cash ISA.
Fixed Cash ISA
With this ISA you can deposit a lump sum and watch your savings grow, tax free. The key features of this account include:
- A minimum opening deposit of £500 and up to £20,000, less any amount invested in a stocks & shares ISA and/or innovative finance ISA in the same tax year
- Transfers into our cash ISAs take advantage of our ISA promise
- Choose for your interest to be paid monthly or annually on anniversary of account opening
Help to Buy: ISA Online
The first step to owning your first home, this is a government backed savings account with the ocus of helping people buy their first homes. It’s currently paid interest at 1.50% and you are able to save £200 a month after the initial £1000 maximum deposit (this is slightly lower than other Help to Buy ISAs which allow you to deposit £1200).
You are able to withdraw your money but you won’t be eligible for the 25% bonus (a maximum of £3000) which the government provide once you go to buy your home.
Other features include:
- Interest that can be paid monthly or annually
- Opening the account with £1 up to £1,000, this must be received within 21 days of account opening
- Save from £1 to £200 each month by standing order to be received by 25th of each month
Bank of Scotland’s Promise
Bank of Scotland’s ISA promise is a nice touch and offers peace of mind to anyone worried about transferring their money. Their promises include:
1. When you switch your cash ISA, stocks & shares ISA or innovative finance ISA to Bank of Scotland they will not wait for your current provider, we pay interest from day one of receiving your completed transfer application, as long as your funds are free to transfer.
2. They keep you informed
- while switching your cash ISA, stocks & shares ISA or innovative finance
- when your introductory rate, bonus period or fixed rate cash ISA offer is coming to an end
- Of your cash ISA’s interest rate, including: personal interest rates on paper statements, online & mobile
3. We won't offer any of our cash ISA products to new customers only.
Bank of Scotland offer a competitive rate of interest at 0.50% tax free/ AER Fixed for the term and offer various lengths of term contracts.
An ISA is a tax efficient way to save as they allow you to pay little or no tax on the interest of your savings and investments making them a popular choice for saving large amounts of money. As you can earn tax-free interest on up to £20,000, this makes it a great choice for people who have a higher amount of savings as current accounts mostly offer interest on much lower amounts.