It’s almost the end of the tax year and I’m sure that many of you have seen the plethora of ads promoting a variety of different ISA products. With this much choice on offer how do you make the right decision and are you being provided with all the information you need to make the best choice for you?
Here at Ethex we think it’s really important that when you put your money into an ISA you should find out where your money then goes. A recent research study commissioned by Charity Bank concluded that 74% of people were unaware of what their savings were supporting. In contrast, 71% of people would like their bank to make it clearer where their money is invested. With around some £762 billion of UK savings sitting in cash, then if invested appropriately this could be a powerful force for good #Bankingforgood
Charity Bank’s research also revealed that 56% of people would like to be offered an ethical ISA as an option when choosing a savings account and that a further 61% of respondents would consider opening savings accounts that paid a fair rate of interest and lent money to charities, social enterprises and other good causes.
An ISA, or Individual Savings Account, is a tax-free wrapper around savings and investments, meaning you can receive interest without paying tax. There are three different types of ISA: cash; stocks and shares; and Innovative Finance ISAs. Individuals can invest in several different ISAs up to a maximum of £15,240 for the tax year 2016–17 and in 2017–18 this will be £20,000.
To find out more about the different types of ISAs and how they work visit Ethex’s Help and Guidance pages.