A Stocks & Shares ISA allows you to invest your money. Investing your money can provide higher returns than a Cash ISA over the long term (minimum of five years), however, as with all investing, your capital is at risk and you may get back less than you invest.
Cash ISAs are cash savings accounts which don’t offer investment options. Instead, your money earns interest, so, although your returns may not be as high, there’s less risk than with a Stocks & Shares ISA.
At Moneybox, we offer a Stocks & Shares ISA and three types of Cash ISA – a 1 Year Fixed Rate ISA, which locks your money away for 1 year, earning a fixed interest rate, a Cash ISA which has a variable interest rate and a minimum balance on £500, and an Open Access Cash ISA which also offers a variable interest rate, but doesn’t have a minimum balance requirement or restrictions on withdrawals.
Please note the Open Access Cash ISA is currently only available to existing customers.