ISA (Individual Savings Account): Who Qualifies and What You Get
Learn how an ISA allows you to earn tax-free interest and dividends on your personal savings.
An ISA (Individual Savings Account) is a way to grow your personal savings without paying taxes on the money you earn from them.
Who it's for
This scheme is available to all individuals who are currently employed.
What you get
When you put money into this account, any interest you earn or dividends you receive from investments are tax-free. This means you keep more of the profit generated by your savings.
What it costs you
There is no direct cost to join the scheme, but you must take the time to open an account through a bank or a brokerage firm.
The catch to know
The most important rule to remember is that you are only allowed to hold one ISA account at a time.
How to apply
- Decide whether you want to save in cash or invest through a brokerage.
- Choose a bank or a brokerage firm to act as your provider.
- Follow the provider's process to open your new account.
- Deposit your funds to start earning tax-free returns.