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This year’s ISA deadline imminent

This year’s ISA deadline imminent

Category: Savings

Updated: 03/04/2009
First Published: 03/04/2009

This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Savers who have not yet taken advantage of this year's ISA allowance now have only a few days to do so.

The new tax year begins on Monday (6April), a date that also marks the tenth anniversary of the ISA, which has been hugely popular with savers.

As well as the tax benefits the accounts offers - money deposited is tax free compared to a 20 per cent tax on savings account interest - cash ISAs pay an average rate of 1.9 per cent.

It is a rate that is hugely favourable compared with the 0.65 per cent currently paid on normal no notice savings accounts.

Consumers with substantial funds in savings are in the enviable position of being able to pay in two years' worth of ISA allowance in less than a week if they pay in money either side of the 5 April deadline.

The limit on deposits into cash ISAs is currently £3,600; however, there are ISAs on the market that only require a minimum investment of £1, so just about anybody can open an account that offers more bang for their buck.

For an ISA to suit you, check Moneyfacts best buy tables today.

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.