Since the introduction of individual savings accounts (ISA’s) all banks have been trying to market and
advertise their own as the best. People have instantly been attracted to the huge tax benefits which
individual saving accounts can offer. These benefits allow one to continue saving over a long period
of time and building interest without having to pay any tax. In long term circumstances this can save a
significant amount of money for many people. Cash ISA accounts have become the nation’s favorite
way of saving. They effectively save you huge amounts of money by allowing you to build up your
savings and earn tax free interest on your savings. Some cash ISA accounts ask for a certain amount of
money to be paid into the account each year but this is normally not a massive amount. Their tax free
status is the main attraction of ISA accounts as people work hard for their savings and do not want to
lose out on a fraction of them to the tax man.
There Are Several Santander ISA accounts Available
Santander ISA accounts are amongst the most popular of the high street banks. They offer good interest rates and other benefits which help to attract both existing and new customers. There are different
types of Santander ISA accounts which offer various rates, benefits and flexibility plans. One of the
most popular Santander ISA accounts is called the flexible ISA. It offers a guaranteed minimum rate of
2.81% AER tax free (variable) for 12 months. It also boasts at 2.31% above the Bank of England base
rate for 12 months so a shift in the Bank of England base rate will not affect the interest paid with this
particular Santander ISA account. Other benefits this Santander ISA account offers is the flexibility to
access your tax free ISA money online, at a cash machine, in branch and even over the telephone. This is
very convenient for many customers as many other ISA accounts have limited access. Perhaps the most
beneficial feature about this flexible Santander ISA account is the fact that you are allowed to open one
up with as little as £1 and you can still save up to £5,340 in the first tax year.
Another Santander ISA account is called the 2 year fixed rate postal ISA. For 2 years it allows
you to earn 3.50% AER interest which is tax free. It also allows you to transfer any cash you
may have in other ISA’s without charging a fee so this particular Santander ISA account is very
popular amongst those who are switching from other banks to Santander.
Another popular Santander ISA account is the 2.50% Direct ISA account. This Santander ISA
account offers 2.50% AER tax free interest for 12 months on balances from £14,000. It also
includes a 2.00% AER tax free variable bonus for 12 months. As with the 2 year fixed postal rate
ISA this one also allows you to transfer cash from ISA’s with other providers free of charge so
once again this encourages new customers to join Santander.