For tax free gains invest in an individual savings account
The Capital Reward Plus ISA product range offers you savings on tax, time and money. It’s easy to manage; you can invest new money (by lump sum and/or regular monthly contributions) or transfer an existing ISA and benefit from having all your investments in one place.
- Open an ISA with Capital Reward Plus and benefit from:
- Instant online application – easy to manage
- Reduced entry charge for stock and shares ISAs*
- Invest with leading established investment houses
- Stockbroker management services (discretionary fund management)
- Access to highly skilled fund management specialists
*available on selected M&G products
See the product range below and open a new ISA or transfer your existing ISA by selecting the appropriate provider logo of your choice in the “Open an ISA” section of this page.
More information…
ISAs available through us
ISAs available through us
At Capital Reward plus we offer ISA products to cover every individual need. We have a number of different options for stocks and shares ISAs and a Cash ISA.
Stocks and Shares ISA: M&G
Our Stocks and Shares ISA offering is provided by M&G. Unit trusts are collective investment funds that invest mainly in shares, aiming to generate returns through capital growth or income or a mix of the two.
Stocks and Shares ISA: Parmenion
With markets being ever more volatile it is our opinion that today’s Investor needs a more proactive approach to how their investments may be managed. Parmenion Partners LLP offer a series of ISAs to suit each individual client; their commitment to you the client is that their team of experts will actively manage each holding to ensure the best possible returns for its clients.
Transfer your existing ISA to us
Transfer your existing ISA to us
Take advantage of the ISA offered through Capital Reward Plus by transferring your existing cash and/or stocks and shares ISAs.
Benefits in transferring:
- Improve the potential for better annual returns
- Discount entry costs
- Market leading investment managers
- Consolidate your ISA accounts
- Simple and easy steps to transfer
What can be transferred?
What can be transferred?
Cash ISA:
You can transfer the amount saved in the current tax year’s ISA into a cash or stocks and shares ISA with any provider. Each previous tax year can be transferred in the same way. TRANSFER NOW
Stocks & Shares ISA:
You can transfer the amount invested in the current tax year’s ISA into a stocks and shares ISA with any other provider. Each previous tax year can be transferred in the same way. You cannot transfer a stocks & shares ISA into a Cash ISA. TRANSFER NOW
How much can I invest?
How much can I invest?
Allowances
Each tax year everyone aged 18 + over (16 + over for the Cash element) has an ISA ‘allowance’, which sets the maximum that can be saved within the tax-efficient wrapper from 6th April to 5th April.
For the current tax year (2011/2012) the allowance is £10,680 of which up to £5,340 is allowed in cash.
There are three basic scenarios:
The first being if you were to use your maximum cash allowance you can invest up to the same into a stocks and shares ISA.
The second scenario would be to use the full allowance for stocks & shares. However this leaves no room for tax-free cash savings.
The third is a Mix n’ Match approach. For example, someone could save £3,000 in cash and invest the remaining £7,680 in stocks and shares.
It is important you are aware that any savings or investments must be made by 5th April (end of the tax year), as any unused allowances (or portions of them) cannot be rolled over; in effect they are lost forever. For this reason an ISA should always be considered as the first place to house any savings or investments.
Can money be withdrawn
Can money be withdrawn?
Yes. A common mistake is to think an ISA needs to be held for a set length of time in order to reap the tax efficient benefits. Luckily that is not the case, as providing the rules of the individual product allow, (it – delete) you can have full and instant access to your money without losing the tax benefits on the rest of your savings or investments in the wrapper (You should be aware that some providers impose penalties on early encashment).
However, once the money is withdrawn, it cannot be returned. A few examples should help clarify this:
Situation:
Mr. Rich Devil invests £10,680 in a stocks and shares ISA at the beginning of the tax year.
Options:
He may sell the whole investment, or part of it, at any time without losing the tax benefits, but no further money can be placed in an ISA within the same tax year.
Situation:
Ms. Irma Indecisive invests £3,000 in a cash ISA at the start of the tax year. Shortly after this she decides to withdraw £1,500. Later in the same tax year she wants to save further amounts into an ISA.
Options:
She may save a further £2,340 with the same cash ISA provider, or £7,680 in a stocks and shares ISA (or a mix of the two) before the end of the tax year. This would take her total annual allowance to £10,680.
What is an ISA?
What is an ISA?
An Individual Savings Account (ISA) is not an investment itself but a tax efficient wrapper into which you can place either cash or shares. All proceeds from an ISA are tax free in the hands of the investor.
ISAs are available to all UK residents aged 18 or over, although from the age of 16 or over qualify for the cash portion in the ISA allowance.
What is a cash ISA?
What is a Cash ISA?
Cash ISA’s are simply savings accounts where the interest isn’t taxed, meaning it’s incredibly rare for a normal savings account to pay more interest. For example, for a cash ISA paying 6% AER to be beaten, a basic-rate taxpayer would need a savings account offering 7.5%, while anyone on the 40% tax bracket would need a whopping 10% return and additional rate tax payers would need a whopping 12%.
Just like normal savings accounts there’s a variety of cash ISA’s available, such as instant access, fixed rate, and accounts with base rate guarantees.
What is a Stocks & Shares ISA?
What is a Stocks & Shares ISA?
Share based investments in various forms are ISA-able. However a more common use of the shares allowance is for collective investment vehicles like unit or investment trusts. These are pooled investments where a fund manager picks a selection of shares based on geographic or sector criteria and the value of the investment depends on the collective performance of the shares picked.
Shares in individual companies may be placed inside what is called a self-select ISA, which are usually managed by stockbrokers.
Placing these investments inside an ISA wrapper provides two tax advantages. First any profits made from share price increases are not eligible for capital gains tax and second it enables all the tax on bond holdings to be reclaimed.
