Tuesday, 6 June 2017

First cash Lifetime Isa launched

Savers will be able to save cash into the government's new Lifetime Individual Savings Account (Isa) for the first time from Thursday.

Skipton Building Society is launching a product with an interest rate of 0.5%.

Currently only three providers are offering the Lifetime ISA, but those require investment in shares.

Money saved in a Lifetime Isa is designed for buying a first home, or for retirement. The government offers savers a 25% annual bonus.

Savers have to be under the age of 40.
Compared to other cash Isas, the Skipton's interest rate is relatively low. Rival providers of instant access Isas offer returns of more than 1%.

BBC     News.