Cash ISA

Simple, tax-free savings

Make the most of your tax-free allowance with a Cash ISA. You can save between £1 and £20,000 this tax year and earn 0.85% AER (0.85% tax-free) variable with the freedom to access your money whenever you like.

• tax free interest 0.85% AER (0.85% tax-free) variable
• interest is calculated daily and applied monthly
• instant access by a transfer to another first direct account
• you can transfer to us from other providers
• apply online opens a new window by Online Banking or by post and you can manage your account online, in our mobile app, by post or phone.

Tax-free means free from UK Income Tax and Capital Gains Tax.

AER stands for Annual Equivalent Rate. This shows you what the rate would be if interest were paid and compounded each year.

Important information for first-time buyers

You should know that taking out a first direct Cash ISA may affect your eligibility to subscribe to a Help to Buy: ISA in the same tax year (first direct do not currently offer a Help to Buy: ISA).

Make the most of each tax year

If you are over 18 and a UK resident; you can save up to £20,000 this tax year - whether that's in a cash ISA like this, a stocks and shares ISA, an innovative finance ISA*, a lifetime ISA* or any combination of these - without paying income or capital gains tax on the interest. Bear in mind you can only subscribe to one of each type of ISA each tax year.

first direct do not currently offer an innovative finance ISA or a lifetime ISA.

Transferring ISAs

ISAs can be transferred to another ISA, either with the same provider or someone new (but remember not all cash ISAs accept transfers in and some providers may charge for transferring an ISA out). Here's what you need to know:

• when an ISA is transferred, any amount transferred from previous years' allowances aren't counted in that year's allowance
• previous years' allowances do not need to be transferred in full, they can be split between different providers
• you can transfer cash or stocks and shares ISA balances to us, held with other providers, from previous or current tax years
• however any amount being transferred from the current tax year must be transferred as a whole and will count towards that year's allowance
• when transferring a stocks and shares ISA, your stocks and shares ISA manager will, after receiving the instruction to transfer, sell your shares and make the transfer in cash - and this could mean a loss of income or interest whilst the transfer is being made.

If you already have a Cash ISA, but haven't subscribed to it in the last tax year (6 April 2017 - 5 April 2018), you won't be able to subscribe in the current tax year (6 April 2018 - 5 April 2019) unless you reactivate it. To reactivate your ISA and make further subscriptions, please download the Cash ISA application/reactivation form opens a new window.

The value of the tax benefits will depend on your individual circumstances and could change in the future.

Summary and key product information

Account name	Cash ISA
What is the interest rate?	Balance Interest Rate All balancesBalance 0.85% AER (0.85% tax free)Interest Rate Interest is calculated daily and credited monthly.
Can first direct change the interest rate?	Yes, we can change the interest rate on this account in line with the account's Terms and Conditions.
What would the estimated balance be after 12 months based on a £1,000 deposit?	Initial Deposit Interest Rate Balance at end of 12 months £1,000Initial Deposit 0.85% AER (0.85% tax free)Interest Rate £1,008.50Balance at end of 12 months For the purpose of these calculations, it is assumed:- initial deposit of £1,000 no additional deposits no withdrawals the interest rate remains the same during the 12 months. Projection provided for illustrative purposes only and does not take into account individual circumstances.
How do I open & manage my account.	Eligibility: you must hold a first direct 1st Account, our current account be aged 18 years or over be resident in the UK for tax purposes, or if not so resident, be a Crown employee serving overseas, or be married to, or in a civil partnership with, such a person this account can be opened in sole names only only one account per person permitted. How to open the account: open an account via Online Banking or by post or you can transfer current or previous years subscriptions by completing an ISA transfer form. Minimum/Maximum Balance: a minimum of £1 must be deposited to open the account the maximum amount you can deposit is subject to annual subscription limits. The annual subscription limit for the 2018/19 tax year is £20,000. This can be saved in a cash ISA, a stocks and shares ISA, an innovative finance ISA, or a lifetime ISA with either the same or different providers the maximum balance you can hold is subject to the ISA Regulations. How to manage the account: once opened the account can be managed via Online Banking, Phone Banking, by post or via our App.
Can I withdraw money?	Yes, you have instant access to your account. You can make as many fee free withdrawals as you like. However once you have paid in the maximum annual subscription limit to this account, any amount withdrawn can not be reinvested until the following tax year. If you withdraw funds from your ISA you will lose the associated tax benefits.
Additional Information	A 14 day cancellation period applies to this account. Interest is paid tax-free, that is free from UK Income Tax and Capital Gains Tax. The value of tax benefits described depends on individual circumstances. The tax treatment of ISAs could change in the future. Subscribing to a cash ISA may affect your eligibility to subscribe to a Help to Buy: ISA Definitions * AER stands for Annual Equivalent Rate. This shows you what the gross rate would be if interest were paid and compounded each year. * Tax free means free from personal liability to any UK Income Tax and Capital Gains Tax. * ISA stands for Individual Savings Account. Rates correct as at 03.09.18