| All News | Archived News |
Isas `excellent form of debt management`
12 December 2007
A government report has highlighted the success of individual savings accounts (Isas) as more consumers use them as a form of debt management.
Over the last few years, banks and the government have been advising consumers to save their money in high-interest Isas as they benefit more from the accounts than standard bank accounts.
As a result, figures from the Treasury show that 40 per cent of Isas open in the UK are currently holding more than £8,000, while one in three Isa account holders said the tax-free accounts were a big incentive for them to save.
Economic secretary to the Treasury Kitty Ussher said: "This research helps to confirm the success of Isas in encouraging people to save, enabling them to build up a financial asset. Next year we will be introducing reforms to build on that success."
Consumers can save up to £7,000 each year in an Isa and they do not get taxed on their interest earnings.
Speak to an expert today
Call freephone: 0800 161 3516
©2008 Gregory Pennington Ltd. Pennington House, Carolina Way, South Langworthy Road, Salford M50 2ZY. Company Registration No. 2855061
Registered in England and Wales
Part of the Think Money Group. Our initial advice on your best financial solution is free. Fees payable where continuing services are provided. Calls may be recorded for training and quality purposes.
Debt Management | Debt Solutions | Debt Consolidation | IVA | Trust Deed