Our range / NS&I Direct ISA /

How it works

The NS&I Direct ISA offers tax-free returns, and a straightforward and secure way to manage your money. And our Direct ISA also gives you the convenience of managing your account by telephone and online.

What’s more, as NS&I is backed by HM Treasury, you can rest assured that your savings are completely secure.

• NS&I - 100% security for your money
• Tax-free returns
• Opening and using your account
• We're here for you every day
• Payments and withdrawals
• Debit card clearance
• Your password
• Choosing your password
• Password security
• I already have a cash ISA - can I transfer it to an NS&I Direct ISA?
• Will ISAs always be tax-free?
• About the terms and conditions
• Your right to cancel
• Protecting your personal information
• Our commitment to good service
  

NS&I - 100% security for your money

With NS&I you can be sure that all of your capital is 100% secure, however much you invest. We can give you this guarantee because National Savings and Investments is backed by HM Treasury.

Back to top

Tax-free returns

Unlike normal savings accounts, cash ISAs are totally tax-free. This means that you don’t pay UK Income Tax on the interest earned and you don’t need to declare it on your tax return.

The interest rate is variable, which means it may change from time to time. Click here to check the current rate.

Interest is calculated daily on balances of £1 and over, and is credited to your account once a year on 5 April. When you withdraw money, it stops earning interest on the day we issue your payment.

Back to top

Opening and using your account

Anyone resident in the UK for tax purposes, and aged 16 or over can open an NS&I Direct ISA (the UK does not include the Channel Islands and Isle of Man.) You can open your Direct ISA by phone or online, with a minimum initial investment of £100 paid by debit card in your own name.

Once you’ve opened your Direct ISA, you can manage it by phone and online only. You can make deposits and withdrawals, check your balance, get details of previous transactions and update your details on the phone and online.

Back to top

We’re here for you every day

Call us on free on 0500 007 007*.  And of course you can use our online service 24 hours a day, 7 days a week.

Back to top

Payments and withdrawals

If you’d like to add to your Direct ISA on a regular basis, you can do so by standing order with a minimum payment of £50. Find out more and download a standing order form. You can also make deposits at any time by debit card or electronic bank transfer, again with a minimum of £50.

The maximum investment for any one tax year is £3,600 (from 6 October £5,100 for those who will be 50 years or over on 5 April 2010 - Find out more here).

You can take out money from your cleared balance at any time with no notice and no penalty. The minimum withdrawal is £50. We’ll pay any withdrawals directly into your nominated bank or building society account.

Back to top

Debit card clearance

Once your account is open, you’ll start earning interest on all deposits from the day we receive them. Debit card deposits will be available for withdrawal from the seventh working day (ie excluding weekends and English bank holidays).

For example, if we receive your debit card details on a Monday, your payment will be cleared on the Tuesday of the following week. After close of business on the seventh working day, you can be certain that the money will not be reclaimed from your account as a result of the payment not being authorised. Allow one additional day for each English bank holiday.

We will start to process your debit card payment as soon as we receive it, so please make sure you have enough money in your account at the time.

Back to top

Your password

Your password identifies you as the account holder, so you will be asked about it each time you access your account. You can use the same password to access your account by phone or online.

If you open your Direct ISA by phone, we’ll send you a secure, temporary password to get you started, which you’ll need to change to one of your choice. Your temporary password expires after 60 days, so please make sure you change it before then.

If you open your account online, you’ll need to provide your chosen password as part of your application.

Back to top

Choosing your password

Your chosen password must be between six and eight characters long – it can include letters, numbers or a combination of both.

Back to top

Password security

You should keep your password secure at all times. Call us immediately on 0500 007 007* if you think someone else knows it, or if you have forgotten it.

Back to top

I already have a cash ISA – can I transfer it to an NS&I Direct ISA?

We don’t accept transfers from other providers to our Direct ISA. However, you can transfer an NS&I Cash ISA to a Direct ISA. Call us free on 0500 007 007* to find out how to do this.

Back to top

Will ISAs always be tax-free?

The government has promised to keep ISAs indefinitely. The tax treatment of ISAs may change in the future.

Back to top

About the terms and conditions

Please read the terms and conditions before you invest. If we make any change to the terms and conditions after you invest, we will let you know. If any change is to your disadvantage, we will tell you personally at least 30 days before the change. In this case you can switch to another NS&I product or close your account, without notice or penalty, within 60 days of us telling you. For any other changes, we will let customers know by updating this website and, if appropriate, in a range of national newspapers.

Back to top

Your right to cancel

If after opening your account you decide it does not meet your needs, let us know in writing* within 14 days of receiving your acknowledgement letter and we will help you change to a different account or refund your money with any interest due. If you cancel within this time you can open another cash ISA within the same tax year.

* Either by post to Direct ISA, National Savings and Investments, Glasgow, G58 1SB, or by fax on 0141-636 8744 or by email to customerenquiries@nsandi.com

Back to top

Protecting your personal information

When you become a customer of ours, we will treat all the personal information we hold about you as private and confidential. Find out more about our privacy policy.

Back to top

Our commitment to good service

As part of our commitment to providing you with a high standard of service, we subscribe to the Banking Code. If we make a mistake we’ll aim to put things right quickly and without fuss. And if you have a complaint, we have a procedure designed to resolve it fairly. We are also covered by the Financial Ombudsman Service. Find out more about the Banking Code or our complaints procedure.

Back to top

*Your call will be taken by one of NS&I’s award-winning UK customer service team. We’re available every day from 7am till midnight. Calls from mobiles may not be free. Calls may be recorded.