Lloyds Share Dealing ISAs

Review of the Lloyds Share Dealing ISA Account

Investment ISAs put your capital at risk & you may get back less than you originally invested

Share Dealing ISA

from Interactive Investor

Allows ISA Transfers
  • Trade From (frequent trader rate): £4.99 (Investor Essentials Plan up to £50,000 in assets)

Why we like it: An award-winning ISA that gives you complete control. The second largest platform in the UK with the widest choice of investment options in the market including funds, investment trusts, ETF’s and more. Open online in less than 10 minutes. Access to expert independent ideas and analysis. Low cost fees and trading. Capital at risk

Share Dealing ISA

from AJ Bell

Allows ISA Transfers
  • Trade From (frequent trader rate): £3.50
  • Trade From (standard trader rate): £5.00

Why we like it: Invest in over 2,000 funds, shares and more across 25 markets. Invest from £25 per month. Which? Recommended Provider for Investment Platforms 2019–2023. Low-cost online dealing from £1.50.  Open your account in minutes from app or website, manage your portfolio on the move. FSCS protected. Capital at risk

Stocks & Shares ISA

from Freetrade

ISA Option
Allows ISA Transfers
  • Fund Choice: Invest in 6,100+ US, UK & European stocks & ETFs commission-free
  • Invest From: £2
See Deal Sign up to Freetrade and you'll get a free share worth £10 to £100. T&C's apply

Why we like it: Commission-free investing: No fees for buying or selling stocks (other charges may apply). Support: Fast and friendly customer support. A wide range of investments: 6,100+ US, UK, and European stocks, ETFs, and investment trusts. Low monthly fees: From £4.99/month. Capital at risk. Other charges may apply

Share Dealing ISA

from Hargreaves Lansdown

Allows ISA Transfers
  • Trade From (frequent trader rate): £5.95 per trade - 20 trades + pm
  • Trade From (standard trader rate): £11.95 per trade
See Deal Open an HL Stocks and Shares ISA, and if you’re not 100% satisfied with our service in your first 12 months, close your account and let HL know. HL will refund their annual account charge – no questions asked.

Good to know: Online trading charges based on previous month’s activity. 20+ trades made in previous month is £5.95 a trade. 10-19 trades are £8.95 a trade. Less than 10 trades it’s £11.95. Get Access to live prices. Easy set up – Buy & sell shares in minutes! Capital at risk.

Share Dealing ISA

from IG

Allows ISA Transfers
  • Trade From (frequent trader rate): £3.00
  • Trade From (standard trader rate): £8.00

Good to know: Pay zero commission on US share trades, and just £3 on UK share trades, when you trade three or more times a month with IG. No admin or transfer fees. Custody fee of £24 per quarter, charged if you hold share dealing or ISA assets at the end of the quarter. Capital at risk. Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading spread bets and CFDs with this provider

Share Dealing ISA

from Interactive Brokers

  • Trade From (frequent trader rate): £3.00
  • Trade From (standard trader rate): £3.00

Why we like it: Low cost share trading ISA platform. Sign up in minutes. £3/€3 per trade for UK & most European stocks.US stocks start from $0.005 per trade. Low currency conversion fees. Fractional US or European share dealing. IBKR ISAs provide access to global markets and tools like GlobalAnalyst help you diversify your portfolio internationally. Your account is protected under the US Securities Investor Protection Corporation up to $500,000 (subject to a cash limit of $250,000). Capital at Risk

Share Dealing ISA

from Best Invest

  • Trade From (frequent trader rate): £4.95
  • Trade From (standard trader rate): £4.95

Why we like it: Pick your own investments or choose a Ready-made Portfolio. Some of the lowest investment ISA account fees available. Tiered service fees of 0.2% or less a year, no set-up fees and share dealing for just £4.95 per trade for UK shares, and there’s no online dealing fee to trade US shares (0.95% foreign exchange conversion fee applies). Voted Best ISA Provider at the City of London Wealth Management Awards 2020. Capital at risk

Investment ISA

from Barclays

Regular Savings
Allows ISA Transfers
  • Fund Choice: Invest in over 2,000 funds, plus Exchange Traded Funds, Investment Trusts, UK & International shares and more. Five Ready-made Investment funds if you’re not sure where to invest. Capital at risk.
  • Invest From: £50

Why a Lloyds Share Dealing ISA?

Lloyds are one of the UK’s largest financial services providers. They’re a FTSE 100 company with a long and reputable history in the banking world.

They offer a range of financial products including a Share Dealing ISA – an ISA account that lets you invest your savings in the stock market.

What is a Share Dealing ISA?

A Share Dealing ISA is an investment account for buying stocks and shares. However, unlike standard trading accounts, the ISA status means you never have to pay tax on your investments.

Just like with any other type of ISA, a Share Dealing ISA protects you from:

  1. Income Tax on dividends
  2. Capital Gains Tax on your investment growth
  3. Income Tax on interest earned

What do you invest in with a Lloyds Share Dealing ISA?

Lloyds Share Dealing ISAs give you direct access to the stock market from within your ISA wrapper.

Here’s a list of the most popular types of share investments available through a Lloyds Share Dealing ISA:

  1. Shares – invest in one company
  2. Funds – invest in multiple companies via a fund manager
  3. Exchange Traded Funds (ETFs) – Tracker funds
  4. Investment trusts – Buy into an investment company
  5. Bonds & Gilts – Interest-based loan investments

A Lloyds Share Dealing ISA requires you to pick your investments yourself.

There are thousands of different investments to choose from, but Lloyds provide helpful research to help you narrow down your selections and build your Share Dealing ISA portfolio.

You can even purchase shares in companies listed on international stock exchanges like the New York Stock Exchange.

How do I choose my investments in a Lloyds Share Dealing ISA?

Choosing the best investments for you is a complicated and often daunting decision process.

Everybody has different savings goals and investment strategies, and nobody can predict the stock market or guarantee a specific rate of return.

However, here are our top tips for picking shares and funds yourself:

1. Attitude to risk

Think about how much risk you are comfortable with. Are you happy holding investments throughout periods of volatility in the belief that they have greater growth potential in the long run? Or would you prefer an investment that is less likely to fluctuate dramatically in value, like Bonds or GILTs?

2. Diversify your portfolio

Funds, ETFs and Investment Trusts diversify your investment for you by investing in multiple companies within one sector. But you can spread your risk further by investing in multiple funds across various markets and indexes. This protects your ISA portfolio from downward swings in one individual market.

3. Charges

Investment Trusts and funds are managed by investment professionals and they levy an ongoing fund charge against your holding. The charges for ETFs are much lower as they are simple tracker funds requiring less management, and companies don’t charge you at all for owning their shares.

Does a Lloyds Share Dealing ISA cost money?

Lloyds Share Dealing ISAs apply two main charges to their accounts.

1. Annual Admin Charge

Lloyds charge an annual administration charge of £40 per year, which stays the same regardless of the value of your portfolio. Many ISA providers charge an annual fee based on a percentage of your portfolio instead, so depending on how much you invest this could be a cheaper option for you.

2. Dealing Fees

Lloyds take £11 per trade to buy and sell shares, ETFs and Investment Trusts (any asset traded on a live stock exchange).

They also charge £1.50 per trade to buy and sell funds (Unit Trusts and OEICs).

How do I open a Lloyds Share Dealing Account?

Lloyds Share Dealing ISAs can be opened online, via the Lloyds Banking app, or over the telephone.

There are a few requirements:

  • You must be at least 18 and a UK resident
  • You must not be a US citizen or taxpayer
  • You must not have already contributed to a different Share Dealing ISA this tax year

You’ll need your:

  • National Insurance Number
  • Home address for the last 3 years
  • Debit card to make your first contribution

FAQs

How much can I subscribe to a Share Dealing ISA?

You can add £20,000 to an ISA in the current tax year.

Do I pay tax when I take money out of a Share Dealing ISA?

No, there is never any tax to pay when withdrawing from an ISA.

How long do withdrawals from Share Dealing ISAs take?

You need to sell your investments first, but the whole process usually takes no longer than one week.

Can my investment go down in a Share Dealing ISA?

Yes. Investments in stocks and shares can rise as well as fall.

How do I add money to my Share Dealing ISA?

You can add money to your ISA easily via your online platform with your debit card.

Can I transfer my Cash ISA into a Share Dealing ISA?

Yes. You can transfer any existing Cash ISAs or Share Dealing ISAs to a new Share Dealing ISA. You can do this by completing an ISA transfer form with your new provider.

Can I save my ISA allowance each year?

No, you cannot save your ISA allowance for another tax year. If you don’t use your full allowance in one year, you will lose that year’s potential contribution amount.

Are Lloyds protected by the FSCS?

Yes, Lloyds Share Dealing ISAs are protected by the Financial Services Compensation Scheme which covers you for up to £85,000 if the bank goes into administration.