Grow your savings tax free with a Cash ISA

Whether you're saving up for something special, want to boost your retirement income or simply looking to set some money aside for a rainy day, it's always worth making the most of tax-free savings with a Cash ISA.

As well as helping your money grow tax-free and rewarding longer-term savings, a Cash ISA with Scottish Building Society gives you instant access to your cash and lets you save in the way that suits you best – either with a lump sum, standing order or by paying in whenever you choose to.

5 reasons to choose a Cash ISA

Tax-free returns to help your money grow
Instant access to your money
We accept transfers from both Cash and Stocks and Shares ISAs
Add to the account whenever you like during the tax year
Open and manage your account at a branch or by post

FAQ - Cash ISA

What is the interest rate?

Tax Year Account Opened/Funds Deposited           Tax-free/AER variable

2021/22                                                                                           0.40%

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

Interest is paid tax-free on 31 March each year, provided the account continues to satisfy the ISA regulations. Interest is normally added to the account, but it can be paid to a bank account or another account with Scottish Building Society if you wish.

How do I open and manage the account?

This account is available to existing members, anyone living in Scotland aged 16 or over and resident in the UK for tax purposes. You can open an account with a minimum of £100, either in branch or

You can add to the account whenever you like either in branch, by post or standing order. The maximum amount you can save into ISAs in tax year 2021/22 is £20,000.

Can Scottish Building Society change the interest rate?

The interest rate is variable and may be changed as outlined in section 9 of the Savings Terms & Conditions. When the change is an increase in the interest rate, we will let you know by writing to you or by placing notices and leaflets in all our branches and updating our website. When the change is a reduction, we will write to you 14 days before the rate change.

What would be the estimated balance after 12 months based on a £1,000 deposit?

If you open a Cash ISA in the 2021/22 tax year and deposit £1,000, after 12 months the projected balance would be £1,004.

This projection is for illustrative purposes only and does not take into account your individual circumstances.

How will I receive my interest?

Interest is calculated from the day after the Society receives your cash or cheque until the date of withdrawal and the amount of interest is calculated on the daily balance. Interest will be added to your account on 31 March each year. Or, if you prefer, the interest can be transferred to another Scottish Building Society account or paid to your bank.

Will I pay tax on a Cash ISA?

Whatever your personal tax status, you will not have to pay income tax on the interest earned on your Cash ISA under current regulations, provided that you keep to the annual subscription limits and other rules of operation laid down by HM Revenue & Customs. You do not need to mention your Cash ISA on any tax return you have to fill in.

Can I withdraw money?

You can make withdrawals in branch or by post without notice, penalty or charges. Any withdrawals you make will not alter the tax-free status of your account.

What happens to my ISA when I die?

Your ISA savings will be included in your estate for inheritance tax purposes. However, any accrued ISA savings can be passed to your spouse or civil partner upon death, allowing the surviving spouse or civil partner to continue receiving the tax benefits. Please contact us for more details.

How to apply

You can open a Cash ISA at one of our branches or fill out an application form and post it to us with your initial deposit cheque and proof of ID.

Scottish Building Society

SBS House

193 Dalry Road

EDINBURGH

EH11 2EF

We recommend using a recorded mail service if sending original documents to us.

Request a Transfer

Contact Us

For new savings or mortgage enquiries, call us today on

0333 207 4007

Lines open 9-5 Mon to Fri (10-5 Wed). Calls may be recorded and/or monitored.

Existing Member Enquiries

To talk to us about an existing savings or mortgage account, contact your local office

Find your local office

Financial Services Compensation Scheme

Your eligible deposits with Scottish Building Society are protected up to a total of £85,000 by the Financial Services Compensation Scheme, the UK's deposit guarantee scheme. Any deposits you could hold above the limit are unlikely to be covered. Please see below for further information.

Read more