Back to June 2017

Leeds improves rate on unique one year ISA

Leeds Building Society is relaunching its one year fixed rate ISA with an increased rate of 1.11% tax-freepa/AER*.

The new ISA – which uniquely allows penalty-free access to a quarter of the savings during the term – will be available from Tuesday, 6th June.

The Society offers a range of fixed rate tax-free savings products offering returns which are among the best on the high street.

“Shorter-term fixed rate ISAs are our most popular tax-free savings products at the moment so we’re pleased to be able to increase the return on the one year ISA,” said Richard Fearon, Leeds Building Society’s Chief Commercial Officer.

“The unique penalty-free access is an attractive additional feature so the saver can withdraw up to 25% of their cash, should they need to, without loss of interest.”

Ends

Notes to Editors

Tax-free means that interest payable is exempt from income tax.

*AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and added each year.

Key features

1.11% one year fixed rate access ISA (Issue 95)

  • 11% tax-freepa/AER* one year fixed rate ISA
  • Minimum investment £100
  • Maximum investment is £20,000 in 2017/18, plus previous years’ ISA subscriptions
  • Interest can be added to the account, transferred or paid to another account with the Society
  • Fixed end date of 31st July 2018, when the account reverts to a variable rate instant access ISA account
  • Withdrawals of up to 25% permitted without notice or loss of interest
  • Further withdrawals, transfer or closure permitted subject to 60 days’ loss of interest
  • Deposits for the 2017/18 tax year can be made up to and including 31st July 2017
  • Can be opened online, in branch or by post, and operated in branch or by post

The ISA subscription limit for the 2017/2018 tax year is £20,000, less any amount invested in a Stocks and Shares ISA in the same tax year.

Separate from ISAs, the introduction of the Personal Savings Allowance on 6th April 2016 means basic rate taxpayers can earn up to £1,000 in savings income tax-free. Higher rate taxpayers can earn up to £500.

Leeds Building Society won the awards for Best Building Society Savings Provider and Innovation in Personal Finance (Part and part mortgages) at the 2016 Moneyfacts Awards.

Leeds Building Society operates throughout the UK, Gibraltar and Ireland and has assets of £15.9bn (at 31st December 2016). The Society’s head office has been based in the centre of Leeds since 1886.