Reach your savings goals with our simple, straightforward savings accounts and cash ISAs.
Your new £20,000 ISA allowance is available, maximise on your tax-free savings with freedom and flexibility
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Learn more about the types of savings accounts on offer. We’ve put together some simple guides to help you choose the right account for you.
Save with a 25% government bonus for your money to buy your first home or help towards your retirement
Quickly check if you’re eligible for a Lifetime ISA by answering a few questions
Sorry, you can only open a new LISA as a UK resident and between the ages of 18 - 39. However, if you already have a LISA, you can always transfer it to Paragon Transfer LISA Over 39 and don’t have a LISA? View all savings accounts
A Lifetime ISA can only be used towards your first home or retirement. You can still reach your savings goals with our other accounts View all savings accounts
Great, you can open a LISA today. Learn more about using your LISA towards your retirement.
Sorry you can't use a Lifetime ISA towards your first home. But, you can save in a LISA towards your retirement. Learn more about using your LISA towards your retirement.
Great, you can open a LISA today Learn more about using your LISA towards your new home.
Sorry you can't use a Lifetime ISA towards your first home costing more than £450,000 You can still save in a LISA towards your retirement Learn more about using your LISA towards your retirement.
Our Lifetime ISA (LISA) is a cash ISA, ideal for savers planning to buy their first home or saving for retirement.
The 25% government withdrawal charge will apply if you withdraw your funds for any reason other than to purchase your first home or for your retirement, after the age of 60.
To purchase your first home, you must have made your opening deposit into a LISA at least 12 months before your withdrawal or the 25% government withdrawal charge will apply.
One of the things that makes a LISA different to other types of ISAs is that your deposits into a LISA are topped up by the government with a 25% bonus, on top of the interest you’ll earn from your LISA provider.
You can deposit a maximum of £4,000 a year in your LISA, and the government will top that up with a maximum of £1,000.
So, if you max out your LISA every year between 18 and 50 you could earn up to £32,000 in government bonus alone.
To apply for a Lifetime ISA you must be:
A UK resident
Between 18 – 39 years old
Saving for your first home or towards retirement
In the first 12 months any withdrawals you make from your LISA are subject to a 25% government withdrawal charge. After the first 12 months you can use your LISA towards your first home or retirement penalty-free.
If you withdraw from your LISA for any other reason, the amount you take out is subject to the 25% government withdrawal charge.
This means you could end up with less then you originally deposited. Your LISA is also subject to a penalty if you transfer into a different type of ISA or other account.
A LISA is not a flexible ISA. So any funds you withdraw can’t be replaced in the same tax year without using your remaining annual LISA allowance.
Any deposits you make into a LISA will count towards your LISA allowance and your annual ISA allowance. You can access your LISA funds without the government withdrawal charge applying:
If you withdraw all of it, the government will charge you 25% of the whole withdrawal, leaving you £750. Which is less than you originally deposited.
We've put together the things you need to know, if you're using your LISA toward buying your first home.
Using your LISA towards retirement? Here's what you need to know.
Head officeParagon51 Homer RoadSolihullWest MidlandsB91 3QJ
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