e-ISA
Internet-based, tax-efficient savings
Why pay tax on your savings interest? e-ISA gives you up to 2.50% AER (variable), and the taxman doesn't get a penny.
Why choose an e-ISA?
Tiered interest rates – the more you save, the more interest you earn
Save up to £5,100 in a tax year – this is the limit for tax year 2010/2011.
No penalties – we won't charge you for withdrawing your money. However, if you decide to make a further deposit, remember that you can only deposit a maximum of £5,100 over the entire tax year.
Monthly tax-free* interest – paid directly into your account
Get the savings habit – we can set up a regular transfer from your other NatWest account
Set up and track your own personal savings goals - through Online Banking
* Interest is paid tax-free which means it is exempt from UK income tax.
Easy steps to get or transfer your e-ISA
- Apply online for the e-ISA
- Complete paperwork
If you already bank online with us, your e-ISA should be opened immediately.
If you are new to NatWest, we will send your paperwork in the next few days. We’ll also ask you to send identification documents. Once we’ve received these documents, we’ll check them and return them to you. And that’s it. Your e-ISA is ready to use. - Transfer other ISAs
If you want to transfer another cash ISA to us, once your e-ISA is open, complete the ISA Transfer form, print it, and send it to: Central Tax Unit, 9th Floor, 1 Hardman Boulevard, Manchester, M3 3AQ and we’ll arrange for the transfer to be completed.
Your existing ISA provider has a maximum of 30 days, or to the end of any required notice period, after receiving your transfer request to send your ISA monies to us. This period is specified within the ISA Regulations and Her Majesty’s Revenue & Customs (HMRC) ISA Guidance Notes for ISA Managers.
Not paid money into your account for a year?
Download our re-activation form
UK regulations say that we have to lock your account if you don’t make any deposits for a year. This form lets you pay money into our Cash ISA again – the more you save, the higher the interest you’ll earn. Simply take your completed form into your local branch or post it to: Central Tax Unit, 9th Floor, 1 Hardman Boulevard, Manchester M3 3AQ.
This page provides the current interest rates that apply to this account. We have a separate page for previous savings interest rates.
Full copies of the fees and rates, and terms and conditions that apply to our personal accounts can be downloaded for our terms and conditions page.
Interest rates
Interest rates for customers who open an e-ISA account on or after 15 May 2009
| Balance | AER (variable) | Gross Rate | Net Rate |
|---|---|---|---|
| £30,000+ | 2.50% | 2.47% | N/A |
| £10,000 - £29,999 | 2.25% | 2.23% | N/A |
| £0 - £9,999 | 2.00% | 1.98% | N/A |
Interest paid monthly.
Note: Internet based account only
Last updated on: 4 Sep 2009.
Interest rates for customers who opened an e-ISA account on or before 14 May 2009
| Balance | AER (variable) | Gross Rate | Net Rate |
|---|---|---|---|
| £30,000+ | 3.26% | 3.21% | N/A |
| £10,000 - £29,999 | 3.01% | 2.97% | N/A |
| £0 - £9,999 | 2.75% | 2.72% | N/A |
Note: Internet based account only
Last updated on: 11 Dec 2009.
Interest is paid tax free which means it is exempt from UK income tax.
Common definitions
Annual Equivalent Rate (AER). This is a notional rate used for interest bearing accounts which illustrates what the interest would be if paid and compounded each year. It helps you to compare the effective rates of credit interest on different accounts.
Gross Rate. This means the interest rate you are paid before the deduction of income tax.
Net Rate. This means the interest rate you are paid after the deduction of income tax.
Important information
You can download terms and conditions for NatWest current accounts and savings accounts and information on fees and charges as PDFs.
We sometimes allow savings accounts to be operated in a way which enables the customer to give instructions for a withdrawal or other payment which cannot be met from the funds in the account. If this happens, we may apply charges to the account. Please read our leaflet Personal and Private Banking - A Guide to Fees and Interest which contains details of these charges.
NatWest Personal and Private Banking - Terms and Conditions (PDF File 330KB)
NatWest Personal and Private Banking - A Guide to Fees and Interest (PDF File 225KB)
You may need Adobe Reader to view some of these documents. Get Adobe Reader. Visit access.adobe.com.
Using your e-ISA
- Are there any penalties?
- Can I transfer money in from more than one bank or building society?
- Do I need to enclose a cheque for my initial deposit and who should I make it payable to?
- I have received my ISA application form, what do I put in the 'credit interest' section?
- What should I enter in the initial deposit section if I have already fully subscribed my tax-free allowance for the year?
- I am registered with Online Banking, how do I check what my cash ISA limit is?
Transfer your existing cash ISAs to your NatWest e-ISA
- How do I transfer a Cash ISA with another provider to my NatWest e-ISA?
- How long does it take to transfer funds to my e-ISA?
- I have a TESSA ISA – can I transfer this to you?
- I only want to transfer part of my Cash ISA balance to my NatWest e-ISA – can I do this?
Using your e-ISA
Q. Are there any penalties?
A. No. You can withdraw your money or close your account at any time. We’ll simply pay interest on the daily cleared balance.
Q. Can I transfer money in from more than one bank or building society?
A. Yes. Simply fill out a Cash ISA Transfer Form for each one you want to transfer.
Q. Do I need to enclose a cheque for my initial deposit and who should I make it payable to?
A. If you wish to make an initial deposit, please enclose a cheque with the application form and make it payable to yourself. If you are transferring in funds and do not wish to make an initial deposit you do not need to send a cheque.
Q.I have received my ISA application form, what do I put in the 'credit interest' section?
A. If this section is left blank, interest will automatically be transferred to your ISA. If you would like to credit another account, please specify the details in the box provided.
Q. What should I enter in the initial deposit section if I have already fully subscribed my tax-free allowance for the year?
A. Please key in £1 initial deposit, select payment method cheque/cash and click that you do not wish to make regular savings. This will allow you to move forward through the screens. By enclosing the transfer form with your application we will be aware that you do not wish to deposit £1 therefore you will not be oversubscribing to your ISA.
Q. I am registered with Online Banking, how do I check what my cash ISA limit is?
A. YYou can check how much you can pay/have paid in to your cash ISA account on the 'View Account Details' screen.
You can access that screen by selecting your cash ISA account on the 'Accounts Summary' and then selecting the 'View Account Details' button, near the bottom of the screen.
If you have not used any of your cash ISA allowance for the tax year, it will show the 'Deposits allowed this year'.
If you have used some, but not all, of your cash ISA allowance for the tax year, it will show the 'Deposits allowed this year' and 'Deposits so far this year'.
If you have used all of your cash ISA allowance for the tax year, it will show the 'Deposits so far this year'.
Transfer your existing cash ISAs to your NatWest e-ISA
Q. How do I transfer a Cash ISA with another provider to my NatWest e-ISA?
A. Once your e-ISA is open simply complete a Cash ISA Transfer Form print it, and send it to: Central Tax Unit, 9th Floor, 1 Hardman Boulevard, Manchester, M3 3AQ and we’ll arrange for the transfer to be completed. If you are new to the bank you can send your Cash ISA Transfer form to us with your e-ISA application form.
Q. How long does it take to transfer funds to my e-ISA?
A. Your existing ISA provider has a maximum of 30 days, or to the end of any required notice period, after receiving your transfer request to send your ISA monies to us. This period is specified within the ISA Regulations and Her Majesty’s Revenue & Customs (HMRC) ISA Guidance Notes for ISA Managers.
Q. I have a TESSA ISA – can I transfer this to you?
A. Yes, since April 2008 these have been classed as Cash ISAs so you can transfer these to NatWest.
Q. I only want to transfer part of my cash ISA balance to my NatWest e-ISA – can I do this?
A. We will accept partial transfers however you will need to check with your existing ISA provider as their terms and conditions may not allow partial transfers.
Online banking: The easy way to manage your savings
An e-ISA is made for online savers. Online banking gives you full control – so you can check your balance, your interest, and make transfers to and from your NatWest accounts.
Open all hours
Why ruin your lunch hour? With online banking, you can sort your account anytime - at home or at work.
Set a savings goal
A new car, holiday or a deposit on your first home? Whatever you're planning for, it's easy to set a savings goal - and track exactly how you're doing.
Do more, do it faster
Check your latest transactions as soon as you log in. Search through transactions - going back up to seven years. Or simply check your interest rate. With online banking, it's easy.
Transfer money between your accounts
So you need to move money between your NatWest accounts? It's easy. Just use the 'Quick transfer' box - we'll take care of the rest.
Safe and sound
Our security includes fraud detection, Rapport software for your computer and an easy-to-use Card-Reader. So your money stays safe.
Seeing e-ISA accounts in online banking
Already bank online?
If you already bank online with NatWest you should automatically see your e-ISA account once it has been fully opened.
Not yet signed up to online banking?
It’s easy. You’ll be given the opportunity to sign up when applying for an e-ISA account.
Already have an e-ISA account?
If you’ve already got an e-ISA account, but not online banking, signing up is simple and you could get instant access. Sign up now if you already have an e-ISA account.
