Background image: Cash ISA

Cash ISA

Our Cash ISA is an ideal way to save your money tax-free.

You can open a Cash ISA face-to-face in one of our Relationship Centres or by downloading an application form and sending it to us with proof of identity.

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Key Information
  • Tax-free returns to help your savings grow
  • Instant access to your money
  • Deposits can be made at any time during the tax year, subject to your annual ISA allowance
  • Open with £100 and save up to £20,000 each tax year
Interest Rate
Tax-Free/AER Variable
What might a Cash ISA look like for me?
Initial Deposit
Balance after 12 months
Interest earned
Interest Rates

The main benefit of our easy access Cash ISA is the tax advantages it offers you, because any interest you earn is tax-free. You can make as many deposits into your Cash ISA as you want (subject to your annual ISA allowance) and withdraw money whenever you need to.

Whether you’re putting funds aside for a special occasion, thinking about a dream holiday or making plans for your retirement, opening a Cash ISA is easy.

The rules around ISAs changed on 6 April 2024 and you can now open ISAs with different providers, previously you were only able to open one type of ISA per tax year. This means you can now save a total of £20,000 across all your ISA providers in each tax year. 

You can open an account in one of our Relationship Centres with £100 and save up to £20,000 each tax year, tax-free. You can transfer funds from Cash ISAs or Stocks and Shares ISAs held with another ISA provider to your Scottish Building Society Cash ISA through our transfer process, safeguarding your tax-free entitlement.


Questions we get asked

What's the interest rate?

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

2024/25                                                                                       4.00%

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 annually on 31 March each year, as long as the account continues to satisfy the ISA regulations. Interest is usually added to the account, but it can be paid to a bank account or another account with Scottish Building Society if you’d like.

Will the interest rate change?

The interest rate is variable and can change – if it increases, we’ll update our website and, if the rate goes down, we’ll write to you 14 days before it changes.

You can find out more about changes to our interest rates by reading our Savings Terms & Conditions.


What would be the estimated balance after 12 months if I opened an account with £1,000?

After 12 months the estimated balance would be £1,040.00

This estimate is just for illustrative purposes and doesn’t take into account any deposits or withdrawals you might make.

Can anyone open a Cash ISA?

You can open a Cash ISA if you're aged 18 or over and resident in the UK for tax purposes. The minimum opening balance is £100.

How do I open the account?

You can open a Cash ISA in one of our Relationship Centres, or if it’s easier for you, you can download an application form and send it to us with a cheque for your initial deposit and proof of ID. Please read our Proof of ID checklist for details of ID we can accept.

You can make deposits in our Relationship Centres (cash or cheque), by post (cheques only) or by bank transfer. For more information see managing your savings account.

What's my annual ISA allowance?

The Government sets an ISA limit on how much you can save in all your ISAs each tax year (from 6th April – 5th April). For 2024/25, your full annual ISA allowance is set at £20,000.

There are 4 types of ISA - cash ISA, stocks and shares ISA, innovative finance ISA and Lifetime ISA. Not all providers will offer each one.

How will I receive my interest?

Interest is calculated daily from the day after you deposit your cash or cheque until the date you withdraw your funds.

Annual interest is paid to your account once a year on 31 March. Or, if you prefer, the interest can be transferred to another account held with Scottish Building Society or paid to your bank account.

Will I pay tax on a Cash ISA?

Whatever your personal tax status, you won’t have to pay income tax on the interest earned on a 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 don’t need to mention a cash ISA on any tax return you fill in. Any interest earned is free of Capital Gains Tax.

Interest earned from your Cash ISA will not count towards your Personal Savings Allowance.

What if I’ve already opened a Cash ISA with a different provider for this tax year?

The rules around ISAs changed on 6 April 2024 and you can now open more than one ISA of the same type. For Cash ISAs, you can now save a total of £20,000 in the same tax year with different providers.

You can open a Cash ISA with us as long as you’ve not exceeded the £20,000 annual ISA allowance for the same tax year.

How can I access and transfer my money?

You can withdraw money from your Cash ISA at any time. You can make an unlimited number of withdrawals to a nominated bank account without notice,  penalties or charges.

You can make withdrawals in our Relationship Centres too. You’ll need to bring proof of ID with you (for example, a valid Passport) and your signature (for example, a valid driving licence).

Our Cash ISA isn't a flexible ISA, that means the maximum amount you can deposit in any one tax year is £20,000, regardless of any withdrawals you make in that tax year.

If you want to make ISA transfers, you can transfer money in from other Cash ISAs and Stocks and Shares ISAs.

What happens to my ISA if 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.


Financial Services Compensation Scheme

The deposits in your Cash ISA are protected by the Financial Services Compensation Scheme, the UK’s deposit guarantee scheme.

If your bank or building society fails and can’t pay back your money, FSCS can automatically pay you compensation:

  • up to £85,000 per eligible person, per bank, building society or credit union.

  • up to £170,000 for joint accounts.

Find out more by visiting

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Request a Transfer

If you want to transfer funds in from existing ISAs with another provider, please complete the relevant transfer authority form.

If you want to transfer funds from an existing Scottish Building Society savings account or ISA, please complete a withdrawal form.