An ISA is an Individual Savings Account which is a tax-efficient way of investing. This means returns from investing are free from UK income or capital gains tax. The underlying funds you invest in through your ISA may have paid tax, but you can't reclaim this.
Each year, the Government sets a limit on how much money you can put into an ISA. In the 2014/15 tax year you can invest up to £15,000..
You'll be able to invest all of that allowance in a stocks and shares ISA or a cash ISA, or split it between a cash ISA and a stocks and shares ISA as you wish.
When it comes to selecting your funds, we offer you a choice of two different routes. You can either opt for ready-made funds or, if you feel confident enough, pick your own.
The minimum amount you can invest is £500 as a lump sum or £50 a month. You should consider this as a long-term investment and aim to leave your money in the ISA for at least five years.