Apply early for cash ISAs to avoid disappointment

Santander is urging savers to act now to avoid disappointment and ensure they don't miss out on this year's 2010/11 ISA allowance.  With the end of the tax year fast approaching it's important that savers don't leave it too late to apply for an ISA in time to fund before the end of the current tax year.

Applications received until 31 March 2011 via the Santander website will be processed in time to allow customers to fund in the current tax year, so savers don't lose out on their cash ISA allowance.  From 1 April, online applications will be accepted via the Santander website for next tax year's ISA, which can be funded from the beginning of the new tax year on 6 April 2011.

Customers can continue to apply for an ISA for the current tax year in branch and over the telephone until 5 April 2011.  If an application is made over the telephone, customers can fund immediately from an existing Santander account or can visit their local branch to fund the ISA in order to make use of this year's ISA allowance.

As with all banks, some customers may need to provide additional identification documents before an account is opened, in order to comply with regulations, which makes it even more important to ensure that ISA applications for this year are made as early as possible.

Reza Attar-Zadeh, Director of Savings and Investments said: "Given the popularity of our ISAs we want to ensure that any savers looking to take advantage of their ISA allowance for this year aren't disappointed.  For any tax paying savers yet to use their  allowance we urge them to act fast as any unused allowances are lost forever"

Loyalty Flexible ISA Issue 1 rewards loyal customers with a guarantee to pay at least 3.00 per cent above the Bank of England base rate for the first 12 months; and the rate will not fall below the minimum rate of 3.50 per cent for the first 12 month period.  In addition, the account allows penalty free access to the money. So, savers have the peace of mind of a minimum guaranteed rate that can only go up and the added flexibility of an easy access account.  The Loyalty Flexible ISA is available to customers who have their main current account, mortgage or investment with Santander or who switch their main current account to Santander using the Account Transfer Service. 

Flexible ISA Issue 3 guarantees to pay at least 2.80 per cent above the Bank of England base rate for the first 12 months and the rate will not fall below the minimum rate of 3.30 per cent for the first 12 month period, so you're guaranteed a competitive return.  The account allows penalty free access for withdrawals alongside a competitive return designed to encourage more people to save tax-free.  

Both accounts are available for new ISA subscriptions and do not allow any transfers in of existing ISA money.

For any ISA saver looking to secure a good return on their existing ISA money Santander also offers highly competitive Fixed Rate Postal ISAs paying up to 3.70 per cent from a minimum of £500; these are available for new subscriptions and ISA transfers.

For more information, visit santander.co.uk.