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Normally, a slice of any interest you earn from a savings account goes straight to the taxman. However, a cash ISA, or Individual Savings Account (otherwise known as the new ISA/NISA), is a type of account that allows you to earn interest tax-free.
Each tax year (the 6 April to the following 5 April) you can invest up to a specified limit in a cash ISA – click here to download your FREE 8-page ISA allowance guide for the current tax year. You will need a PDF reader such as Adobe Reader to download this guide.
Even if you have no money to invest in the current tax year, you can still transfer your ISA/NISA to another provider, if you find you’re not earning the best rate on your savings.
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