The end of the tax year is fast approaching and with it the end of your opportunity to make the most of your 2019/20 ISA allowance. But it’s not too late if you act now!
The impending close and start of new tax years often results in a flurry of activity for ISA providers and our Innovative ISA (IFISA) is no exception. So, if you haven’t used your allowance yet, don’t worry you’re not too late but here are a couple of things to consider:
Don’t miss out
You have a £20,000 ISA allowance for this tax year (2019/20) and there’s still time to capitalise on it by investing in an ISA by midnight on 5th April; it will then continue to earn tax free for you for years to come but if you don’t act and use it, you lose it.
You could benefit from a double whammy in 2020
You also have a £20,000 ISA allowance for 2020/21 so by investing a further £20,000 from 6th April, you’ll benefit from the double whammy of earning tax-free interest on a total of £40,000 in 2020.
Compare your options
If you have a Stocks & Shares ISA or Cash ISA, consider the return and level of risk offered by your existing ISAs and take the opportunity to look around to see if better options now exist. Our IFISA offers an interest rate of typically 6.5% p.a. and your investment is secured against land or property. The interest is paid monthly providing you with a tax-free monthly income.
Know where your money is going and how risk is managed
Whatever you chose to invest in it’s important to know what your money is being invested in, what the risks are and how the ISA provider manages the risk.