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25% government bonus on the money you invest

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New LISAs available from 18-39 years old. Transfer your existing LISA anytime.

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Open and manage your Lifetime ISA online

Lifetime ISA explained

Save with a 25% government bonus for your money to buy your first home or help towards your retirement

Apply for a Lifetime ISA

A guide to Lifetime ISAs
Lifetime ISA Account guide

Am I eligible for a Lifetime ISA?

Quickly check if you’re eligible for a Lifetime ISA by answering a few questions

First of all, are you aged between 18 and 39 and a UK resident?

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

Great! Next, how are you planning to use your Lifetime ISA?

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

Have you ever owned a property in the UK or abroad?

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.

Is your first home going to cost less than £450,000?

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.

How a Lifetime ISA works

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.

The LISA 25% government bonus

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.

Find out more and apply for your Paragon Cash Lifetime ISA today

To apply for a Lifetime ISA you must be:

Ready to open a Lifetime ISA?

Transfer an existing LISA from the age of 18

Accessing your Lifetime ISA

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.

When can you use your LISA without a penalty?

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’re buying your first home and your LISA has been open for at least 12 months
  • When you're 60 years old
  • If you’re diagnosed with a terminal illness

The 25% Government Bonus

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You save £800 which is topped up by the 25% government bonus

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The total in your LISA is now £1000

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.

Our people

Things to know about a Lifetime ISA

  • You can have more than one LISA at a given time, but you can only open and fund one in a tax year.
  • You’re able to transfer your Lifetime ISAs between providers – be careful and do this through your provider to avoid losing your ISA status on your funds and incurring the 25% government withdrawal charge.
  • You must be a first time buyer to use a LISA to buy your first home. You can’t have owned a property, or a share in a property in the UK or aboard, have inherited a property, or be the beneficiary of a trust including property.

Find out more and apply for your Paragon Cash Lifetime ISA today

Young couple outside first house

Using your LISA to buy your first home

We've put together the things you need to know, if you're using your LISA toward buying your first home.

Old couple enjoying retirement

Using your LISA for your retirement

Using your LISA towards retirement? Here's what you need to know.

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