Saga Telephone Saver

Saga ISA Saver

The convenience of easy access to your money when you need it and earning tax free interest when you don’t.

Saga Savings accounts are provided by Birmingham Midshires
Savings parent 
 Contact us on 0345 850 0664
 Apply now

How does it work?

The Saga ISA Saver is a tax free variable rate savings account that gives you the freedom to access your savings at any time, whilst making the most of your tax free annual ISA allowance.

Saga ISA Saver (Issue 14)

 Monthly interest
 Yearly interest
0.75%
Tax free/AER
0.75%
Tax free/AER

Including a fixed 18 month bonus of 0.70% on balances of £1+. Withdrawals are permitted without charge.

Summary box

Account name

ISA Saver (Issue 14)

What is the interest rate?

We pay a variable rate of interest on this account, as shown in the table below.
  Introductory 18 Month Period After the Introductory 18 Month Period
Annual Interest Monthly Interest
Annual Interest
Monthly Interest
 Balance TAX FREE / AER TAX FREE / AER
TAX FREE / AER
TAX FREE / AER
 £1+ 0.75% 0.75% 0.05% 0.05%
  • For the latest information about interest rates, please visit saga.co.uk/savings
  • Interest is paid either annually on the anniversary of the first deposit, or monthly on the first bank working day of each month.

Can Saga change the interest rate?

Yes. We can move the interest rate up or down at any time. For example, when the Bank of England bank rate changes we will review our rates. We will tell you in advance, your account conditions explain when and how we will do this.

What might the future balance be?

Below is an example of what the future balance might be, after interest has been paid.

Annual Interest
  Introductory 18 Month Period After the Introductory 18 Month Period
Illustrative Initial Deposit TAX FREE / AER Illustrative Balance at 18 Months TAX FREE / AER
Illustrative Balance at 24 Months
£1,000  0.75%  £1,011.28 0.05% £1,011.53 


Monthly Interest
  Introductory 18 Month Period  After the Introductory 18 Month Period 
Illustrative Initial Deposit
TAX FREE / AER
Illustrative Balance at 18 Months  TAX FREE / AER  Illustrative Balance at 24 Months 
£1,000  0.75% £1,011.31  0.05% £1,011.56

This example assumes that:

  • You don't withdraw any money and interest isn't paid out of the account,
  • The interest rate stays the same,
  • You make your initial deposit payment on the day you open the account and you don't make any further deposits.

How do I open and manage my account?

  • You can open your account by phone or online, however you can only manage your account by post.
  • You can open an account in a sole name.
  • You must be 50 or over and a UK resident for tax purposes.
  • The minimum opening deposit is £1.
  • The yearly ISA allowance applies, which means the maximum you can subscribe to a Cash ISA is £15,240 less any amounts invested in any combination of permitted ISAs within the same tax year. You can also transfer an existing ISA to us.

Can I withdraw money?

  • Yes. You can make withdrawals from your account.
  • You can close your account at any time.
 Additional Information
  •  This is a flexible ISA, so if you make a withdrawal, you can pay that money back into this account before the end of the same tax year without affecting the amount you can save in your cash ISA tax free.
  • Tax free is the contractual rate of interest payable where interest is exempt from income tax.
  • AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and compounded once each year. As every advertisement for a savings product which quotes an interest rate will include an AER, it makes it easier for you to compare what return you can expect form your savings over time.

Withdrawals explained

To make any withdrawals please write to us by post.

Remember that we do not require a notice period or charge you for making withdrawals, so you’ll have
unrestricted access to your savings.


Close

What are the benefits?

  • Freedom to access your savings at any time without fees or charges.

  • Offers either yearly or monthly interest payments, which provides flexibility depending on your income requirements.

  • Interest is paid tax free.

  • Withdraw and replace funds without affecting your yearly ISA allowance providing you replace the funds in the same tax year you withdraw them.

How can it help

Whether you are saving for something special, or just making the most of your tax free annual ISA allowance, it is important to choose an account that suits your individual needs. With a Saga ISA Saver you have the freedom to access your savings at any time without notice and without paying charges or fees to do so.

Am I eligible?

To be eligible for a Saga ISA Saver Account you must be:

  • a UK resident for tax purposes
  • aged 50 or over.

Frequently asked questions


Can ISAs be transferred?

If you have already saved in a cash ISA for this tax year but would still like to save in the Saga ISA Saver, you can do so by transferring all of your current tax year subscriptions into the Saga ISA Saver. You can also transfer in some or all of your previous tax years’ subscriptions. Please check with your current provider if there are any transfer costs.

• You can transfer funds held in a stocks and shares ISA or innovative finance ISA into a cash ISA. Your current stocks and shares ISA/innovative finance ISA manager may impose exit charges or other costs associated with transfer. You will be responsible for paying these charges so please check with your current provider.
• If you are transferring from a stocks and shares ISA, the investments you currently hold in this will have to be sold. It is possible that you could lose out if there is a rise in the market whilst the transfer is being completed and Saga Savings does not accept liability for any such loss.
• You can transfer from this ISA to an ISA with another provider. If you have made a withdrawal from a previous years’ subscriptions and not replaced them before you ask to transfer your whole balance and close your account, you will not be able to replace these funds once the ISA transfer process starts. This will reduce the amount of money you are able to save tax free in your Account.

What is the maximum deposit allowed?

You can deposit the maximum 2016/17 ISA allowance of £15,240 and transfer any previous years' ISAs less anything invested in a stocks and shares ISA and/or an innovative finance ISA in the same tax year. You can also replace any money withdrawn from this ISA within the same tax year without impacting your ISA allowance providing we are still offering this account.

Can I choose how interest is paid?

Your interest is calculated daily and you have a choice of interest options. If you have chosen to receive interest monthly, this will be paid on the first day of each month and can be paid to your Account, to another Saga Savings account or to another bank or building society account. If you have chosen to receive interest yearly, this will be paid 12 months after the date we credit your Account with your opening deposit, or if that is not a bank working day, the first bank working day after that and then again 6 months later and then annually thereafter. Interest can be paid into your account, to another Saga Savings account or to another bank or building society – you will make this choice when you open your Account. Interest payments to non Saga Savings accounts will reach that other account by the end of the next bank working day. Interest paid to another account can be replaced in the same tax year by replacement subscriptions to your Account.

Are there withdrawal charges?

No, there are no withdrawal charges.

How will my interest be paid?

We can pay interest into your Account, to another Saga account or to another bank or building society account.  Just let us know where to pay your interest when you open your Account. Please bear in mind that if you choose to have it paid into another Saga account or another bank or building society account, the money will lose its tax free status. Interest payments from a Saga Savings account to another bank or building society account will reach the other account on the next bank working day. Please contact us on 0345 850 0664 for more information.

Can I cancel my account?

You can cancel your account at any time before the end of the 14 day period starting on the day your Account is opened or the day you receive your welcome letter, whichever is later. If you cancel your account you are free to subscribe to another cash ISA in the same tax year. There are no charges for cancelling the account agreement and you do not need to give any advance notice.

Important information

Payment of interest
Interest is calculated daily and is paid yearly or monthly. Interest can be paid into your account, another Saga Savings account or any UK bank or building society account that accepts Faster Payments.

Cancellation Period
If you are not happy with your Account, you can cancel it within 14 days of opening it and you will still be able to open another cash ISA in the same tax year.

Conditions
The General Savings Conditions should be read together with the Account conditions.
If there is any conflict between the General Savings Conditions and the Account Conditions then the Account Conditions shall have priority. The General Savings Conditions apply to all Saga Savings accounts provided by Birmingham Midshires.

To view the General Savings Conditions you'll need Adobe Acrobat Reader.

Fees and charges
There are no fees or charges payable on a Saga ISA Saver.

Financial Services Compensation Scheme
For details of the Financial Services Compensation Scheme click here.

Historical Rates
For historical rates of previous savings products please click here.

Privacy Policy
For our full privacy policy, please click here.

To view the privacy policy you'll need Adobe Acrobat Reader.

Who is the provider and how are they regulated?

The deposit taker for Saga Savings accounts is Birmingham Midshires, a division of Bank of Scotland plc, which is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration number 169628. Registered office: The Mound, Edinburgh, EH1 1YZ. Registered in Scotland No. SC327000.

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