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What is a Cash ISA?

Our Cash ISAs are ‘Individual Savings Accounts’ which allow UK tax payers, aged 18 or over, to earn tax-free interest on their savings.

Watch our video about Cash ISAs to learn more.

Why choose a Cash ISA?

Keep more of the interest you earn with a tax-efficient way to save, meaning you won’t pay any tax on the interest you earn from any ISA.

In each tax year you can pay up to the annual ISA allowance into any type of  ISA, and you won’t pay any tax on the interest you earn. 

You can build the amount of money you hold with tax-free ISA status year on year, and there’s no limit to the amount of interest you can earn on ISA holdings. You can still spend the interest by choosing to have it paid monthly or annually into your nominated bank account rather than into your Paragon Cash ISA.

The annual ISA allowance is the maximum amount of money you can invest in an ISA in a tax year, it’s set by the government and can change. You can’t invest more than your annual ISA allowance into any type of ISA in a tax year. The tax year runs from 6th April to 5th April the following year.

The ISA allowance is currently £20,000 and can be used in any type of ISA. The Lifetime ISA allowance is £4,000 and is part of your annual ISA allowance. That means you can invest £4,000 of your annual ISA allowance into a Lifetime ISA in a tax year.

Our award winning Cash ISAs

Easy Access Cash ISAs

Fixed Rate Cash ISAs

The transfer was much quicker than anticipated...The account was easy-to-set up and the system is easy-to-use

- Greg Haycock

ISA Wallet and Flexible ISAs

Our ISA Wallet and Flexible ISAs give you the freedom to spread your annual ISA allowance across our range of cash ISAs.

Any withdrawals you make are added back onto your annual ISA allowance to reinvest with us, so you won’t lose out on your tax free savings.

ISA transfer rules

You can easily transfer your existing ISAs from other providers to Paragon.

To keep the tax-free ISA status on your savings, make sure you transfer your ISA through your provider and not through a withdrawal.

Personal Savings Allowance

Launched in 2016, the Personal Savings Allowance lets you earn a certain amount of tax free interest on your savings.

If you’re a basic rate taxpayer, you can earn up to £1,000 of tax-free interest. Or, as a higher rate taxpayer you can earn up to £500. But if you pay additional rate tax the personal savings allowance isn’t available to you.

FAQs?

Here you will find the answers to some commonly asked questions relating to our products and services.

Next steps

More about ISAs

For help with managing your ISA with us, we’ve put some key information in one place for you.

Need some help?

Documents

We've collected all our useful documents in one place for your convenience.

Paragon Bank PLC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Registered in England number 05390593. Registered office 51 Homer Road, Solihull, West Midlands B91 3QJ. Paragon Bank PLC is registered on the Financial Services Register under the firm reference number 604551