individual savings account

(redirected from Mini ISA)

individual savings account (ISA)

a SAVINGS scheme introduced by the UK government in 1999 to replace PERSONAL EQUITY PLANS which allows investors to secure tax-free interest and capital gains. ISAs provide for a maximum investment of £7000 per tax year. Initially, ISA investment was limited to stocks and shares growth and income funds. More recently, under ‘mini ISA’ rules up to £3000 can be invested in a mini stocks and shares ISA, up to £3000 in a mini cash ISA and up to £1000 in a mini insurance ISA. In the case of ‘maxi ISAs’ the above allowances still apply with the exception that it is possible to invest all £7000 in stocks and shares. See PORTFOLIO, TRACKER FUND.

individual savings account (ISA)

a SAVINGS scheme, introduced by the UK government in 1999 to replace PERSONAL EQUITY PLANS, that allows investors to secure tax-free interest and capital gains. ISAs provide for a maximum investment of £7,000. Initially, ISAs covered only stocks and shares but have been extended to include other assets, specifically cash and insurance. Under ‘mini ISA’ rules, up to £3,000 can be invested in a mini stocks and shares ISA, up to £3,000 in a mini cash ISA and up to £1,000 in a mini insurance ISA. In the case of ‘maxi ISAs’ the above allowances still apply with the exception that it is possible to invest all £7,000 in stocks and shares. See PORTFOLIO, TRACKER FUND.
References in periodicals archive ?
A Mini ISA could hold cash or a single holding of shares while a Maxi ISA could hold cash and stocks.
The move has sparked a mini Isa season among providers, as they compete for investors' cash.
The group is also reducing the returns paid on its variable rate savings products, such as its cash mini ISA, easy access savings account and income bonds, by up to 0.
Put your cash in a tax-free mini Isa (individual savings account).
A Mini ISA allows you to spread your money across two components - cash and investment (or equities) - each potentially with a different provider in the same tax year.
here are two types of ISA, a Maxi ISA and a Mini ISA.
5pc gross on their cash mini ISA then, but now pay just 3.
However, if you already have a cash mini Isa for this tax year then you can only have a mini share Isa, with an investment limit of pounds 4,000.
You will be able to invest up to pounds 4,000 in a mini ISA, investing either wholly in shares or unit trusts or an insurance ISA.
Over 16-year-olds can hold a cash mini ISA, worth up to pounds 3,000 - handy if an older relative passes on cash outside the taxman's grasp.
The website features a brand new retail channel, so customers can apply online to buy six NS&I products: cash mini ISA, fixed interest savings certificates, fixed rate savings bonds, income bonds, index-linked savings certificates and pensioners guaranteed income bonds.
Each tax year, individuals can invest up to pounds 3,000 in a cash mini ISA, another pounds 3,000 in a stocks and shares mini ISA and a further pounds 1,000 in an insurance mini ISA, although only around 12 companies offer this.