Post Office Cash ISAs are provided by OneFamily. Savings in Post Office cash ISAs are deposited with Bank of Ireland UK. All other Post Office savings accounts are provided by Bank of Ireland UK
Before you choose a savings account, ask yourself:
How often will I need to make withdrawals?
Do you want instant access to your savings or would you be prepared to lock your money away for a fixed period of time? This could be anywhere between 30 days and three years. Usually the longer you have to wait before you can access your cash, the better the rate of interest you’ll receive.
How do I want to manage my savings?
Savings accounts can be managed either exclusively online, or by phone, post or in branch. Usually accounts that can be managed exclusively online offer higher interest rates as savings made through reduced running costs are passed onto you.
How much do I want to save?
You can open some accounts with as little as £1. Some accounts allow you to save flexibly and regularly, others only allow you to deposit a lump sum upon account opening.
Do I pay tax on the interest I receive?
Since 6 April 2016, UK taxpayers have a Personal Savings Allowance. In addition to this, banks and building societies will no longer deduct Basic Rate Tax from savings interest. This means all interest is paid gross without the deduction of income tax. For more details visit: www.gov.uk/hmrc/savingsallowance
Should I open a cash ISA?
Each tax year you’re given a tax-free cash Individual Savings Account (ISA) allowance from the government to encourage you to save. All the interest is completely tax-free which means you keep all of the interest your savings earn. Because of this, a cash ISA could be a great place to start saving if you haven't already used your cash ISA allowance for the current tax year.
Does income from ISAs count towards my Personal Savings Allowance?
No, income from ISAs does not count towards your Personal Savings Allowance.