Abbey offers no local restrictions on ISA accounts

Many seemingly-attractive cash ISA accounts are restricted to local people, according to research undertaken Abbey. Abbey’s research shows that as many as one in nine cash ISA accounts offer some form of local restriction.

These include either specific limitations on the area that customers need to be from, or by limiting account openings to their small branch network. Limitations some of the accounts have include: -

Limiting account openings to within 25 miles of a building society’s branch, or insisting on a minimum £1,000 balance

Minimum balance of £25 if you live in four specific counties – minimum investment of £1,000 if you live outside these counties.

Person has to live “in the local area”

Branch only accounts – but only six branches available

Reza Attar-Zadeh, Head of Savings and Investments at Abbey, said: “It seems amazing that so many accounts have bizarre local restrictions, which could make a number of people ineligible for accounts. Abbey has no local restrictions on its cash ISAs, and allows savers to open ISAs throughout its 708 branches.

“There have never been more attractive rates for cash ISA investors. Abbey’s Direct ISA, for example, currently offers rates up to 6.09 per cent AER, while our Super ISA – available when you invest the same amount into an Abbey Guaranteed Growth Plan – offers 8.10 per cent.

“We would urge savers to ensure they use their ISA allowance to ensure they minimise their tax bill.”

Customers can apply for an Abbey ISA account by visiting abbey.com.