The National Savings ISA is the most secure and one of the most simple and accessible in the marketplace. It offers a competitive interest rate and we expect there will be a strong level of uptake. Our nationwide network, coupled with our reputation for trust and integrity, places us in a strong position to encourage saving by people on modest incomes – the chief target for ISAs.

Features & Benefits

* The National Savings cash mini ISA

Introduced: 6 April 1999; Individual Savings Account pay tax-free interest on savings, availableto anyone 18 or over resident in the UK for tax purposes.

Interest Rates: 5.75% p.a. tax-free/AER (variable rate)

Guaranteed to be at least as high as base rate for the whole of tax year to 5 April 2000 Interest calculated on a daily basis on balances of £1 and over

Maximum Limit: Save up to £3,000 in the first year (1999/2000)

Save up to £1,000 each tax year from 6 April 2000

The Government has guaranteed ISAs will be tax-free for at least 10 years

Minimum Deposit: Minimum opening deposit £10 – minimum subsequent

£10 deposits, meets CAT standard

Cat Standard: Yes. Government voluntary standard on Charges,

Access and Terms

Benefits and Services Include:

Tax-free

* No Income Tax payable on interest – whatever the saver’s tax rate

No Charges

* No one-off or regular charges of any kind, e.g. no charge for withdrawals

Safe and Secure

* Backed by HM Treasury, 100% of your money is 100% secure

Simple

* A straightforward, tax-free savings account with no restrictive penalties or conditions

Flexible

* Deposit and withdraw money without giving notice, and without incurring charges

Accessible

* Open by phone, post or at post offices

* Subsequent deposits by post, by phone, using a bank giro at a bank or building society, by standing order, at the post office

* Withdrawal by post or phone – paid directly into the saver’s bank account or, by arrangement, in cash at a post office