Variable Rate Cash ISA
1.30 - 4.40% AER/tax free** p.a. (variable)
Tax free savings
Save for your future tax-free** with our Variable Rate Cash ISA, and make the most of your 2023/24 £20,000 ISA allowance. You can start with just £1, with no withdrawal restrictions and access to your money when you need it.
- 4,000 bonus Nectar points exclusively for Colleagues when you open this account online and deposit a minimum of £500†
Account name
Variable Rate Cash ISA
What are the interest rates?
The Interest Rate (AER)* is payable as follows:
| Balance tier | AER/gross p.a. |
|---|---|
| £1 - £499 | 1.30% |
| £500 + | 4.40% |
The interest rate that is applied to your account will depend on your balance. The amount of interest you will earn will apply to the whole balance in your account.
Interest is calculated daily and paid on the anniversary of account opening.
You can check the interest rate applicable to your account on any day by visiting sainsburysbank.co.uk and logging into your online banking.
Can Sainsbury's Bank change the interest rate?
Rates are variable. This means we may increase or decrease interest rates at any time, for example, to reflect a change in the Bank of England base rate, or if there are changes in the rates of interest which other firms providing similar products pay. We will contact you to tell you when your interest rate changes. For further information on how and when please refer to condition 7 of our General Terms and Conditions and conditions 2.3 and 2.4 of our Extra Saver Terms and Conditions.
What would the estimated balance be after 12 months?
| Based on a deposit of | Projected balance |
|---|---|
| £250 | £253.25 |
| £1,000 | £1,044.00 |
These examples are based on one lump sum deposit being made at account opening, with no further deposits or withdrawals made. These are provided as an illustration only and do not take into account individual customers' circumstances.
How do I open and manage my account?
- You can open your Variable Rate Cash ISA by applying online.
- You can manage your account via Online Banking or by contacting us.
- You must be aged 18 or over and be a UK resident to open a Sainsbury's Bank savings account.
- The minimum amount you can deposit in the account is £1.00.
- The maximum amount that can be held in the account is £2,000,000.00.
- You must invest a minimum of £1 within 60 days of account opening to ensure that your account remains open and that you benefit from the advertised rate of interest.
- You do not have to deposit any further minimum amount at any time following the initial deposit.
Can I withdraw money?
You can transfer money from your Variable Rate Cash ISA account to a current account held in your name with a bank or building society which is part of the UK clearing system. Withdrawals can be made by electronic transfer via the Sainsbury's Bank Online Banking Service or via Telephone Service by calling us.
When making a withdrawal, unless you transfer your funds to another ISA account, your money will lose its tax free status. Regardless of how many withdrawals you make from your Variable Rate Cash ISA, you will only ever be able to deposit up to your annual Variable Rate Cash ISA allowance limit.
Additional information
If you would like to close your account you can do this online or by calling us.
This is not a bonus account.
Interest on your Variable Rate Cash ISA will be paid tax free. This means that your Variable Rate Cash ISA interest will not count towards your personal savings allowance.
Financial Services Compensation Scheme
All of our savings products are covered by the Financial Services Compensation Scheme(FSCS). For further information about the compensation provided by the FSCS visit www.fscs.org.uk
Protecting your money - A guide from the FSCS (PDF, 1.71Mb,)
Important Information
Savings accounts are available from Sainsbury’s Bank to UK residents aged 18 years old or over. Sainsbury’s Bank reserves the right to alter rates at any time.
Gross interest is the interest rate paid without the deduction of income tax. AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if paid and compounded once each year.
Key benefits
- Earn a tax-free** rate of 1.30 - 4.40% AER/tax free p.a. (variable)
- Interest from your Variable Rate Cash ISA will not count towards your Personal Savings Allowance.
- Open your ISA with just £1
- Deposit your full 2023/24 ISA allowance: up to £20,000 for the tax year
- Transfer in your ISA savings held elsewhere, to have it all in the one place
- 4,000 bonus Nectar points exclusively for Colleagues when you open the account online and deposit a minimum of £500†
Additional benefits
- Interest is calculated daily and paid annually on the anniversary of account opening
- Manage your account 24/7 with online banking
- Available to new and existing customers
- Apply online in minutes
Interest rates to help you save
| Balance tiers | Interest rate |
|---|---|
| £0 - £499 | 1.30% AER/tax free p.a. (variable) |
| £500+ | 4.40% AER/tax free p.a. (variable) |
These rates are subject to change and may be withdrawn at any time. Rates effective from 19th December 2023. Withdrawals are by transfer to another account only. Regardless of how many withdrawals you make from your Variable Rate Cash ISA, you will only ever be able to deposit up to your annual Variable Rate Cash ISA allowance limit.
Apply for your Cash ISA now
It's quick and easy to apply for a Sainsbury's Bank Variable Rate Cash ISA.
Please note, to set up an account you need to be:
- a UK resident; and
- 18 years old or over.
Financial Services Compensation Scheme
All of our savings products are covered by the Financial Services Compensation Scheme(FSCS). For further information about the compensation provided by the FSCS visit www.fscs.org.uk
Protecting your money - A guide from the FSCS (PDF, 1.71Mb,)
Important Information
Savings accounts are available from Sainsbury’s Bank to UK residents aged 18 years old or over. Sainsbury’s Bank reserves the right to alter rates at any time.
Gross interest is the interest rate paid without the deduction of income tax. AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if paid and compounded once each year.
All your ISA savings under one roof
With a Sainsbury's Variable Rate Cash ISA you can keep your ISA savings in one place by transferring any of your existing ISAs - ask about our ISA transfer service or complete our transfer in form (PDF 76KB).
This way you can enjoy an attractive rate on all your balances and the convenience of having your ISAs under one roof. And remember, when you transfer an ISA from another provider, this won't affect your annual ISA allowance. (If you want to transfer in from a Variable Rate Cash ISA, a Stocks and Shares ISA, or an Innovative Finance ISA to our Variable Rate Cash ISA please complete the Transfer In form, please do not transfer the funds yourself).
Take advantage of the 2023/24 £20,000 tax-free limit
Once your Sainsbury's Variable Rate Cash ISA is open you can deposit the full £20,000 annual allowance or make regular deposits into your Variable Rate Cash ISA, whichever is convenient.
No ISA charges whenever you need your money
Access your money with no notice, and no charges or restrictions on the number of withdrawals. Just remember that if you have paid in your full ISA allowance, any amount you withdraw cannot be replaced during the same tax year.
You can only open one Variable Rate Cash ISA during any one tax year and a Variable Rate Cash ISA can only be held by an individual, not in joint names.
How to pay in
Once your Sainsbury's Variable Rate Cash ISA is open you can deposit up to the full £20,000 into your Variable Rate Cash ISA or make regular deposits in the following ways:
- Send us a cheque made payable to yourself
- Transfer funds from an existing Variable Rate Cash ISA with another provider using our transfer in form (PDF 76KB)
- By bank transfer from your main bank account or existing Sainsbury's Bank savings account
Online Banking
You can use our secure telephone service or our Online Banking Service to check your balance and transactions. Find out more about registering for Sainsbury's Online Banking to access, view and manage your account online in our online support section.
Charges
The following charges will apply:
£5 for a duplicate statement.
Protection against money laundering
Before your account is fully active we'll need to verify your identity. This is to comply with money laundering regulations. In most cases we can do this electronically but we may need you to provide some documents to help us.
Important Information
Savings accounts are available from Sainsbury’s Bank to UK residents aged 18 years old or over. Sainsbury’s Bank reserves the right to alter rates at any time.
AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if paid and compounded once each year. **Tax Free: interest on your Cash ISA will be paid tax free. This means that your Cash ISA interest will not count toward your personal savings allowance. The favourable treatment of ISAs may change in the future and is dependent on your personal circumstances.
It takes minutes to apply for a Sainsbury's Bank Variable Rate Cash ISA
If we ask you to send us documents to confirm your identity, please make sure you send them to us by Friday 22nd March 2024 to take advantage of your 2023/24 ISA allowance. If it’s after this date the account may not be open on time.
You're eligible to apply if you:
- Are resident in the UK
- Are 18 years of age or older
- Don't already hold a variable Variable Rate Cash ISA with us
To apply you will need the following information:
- Personal details - date of birth, address, nationality, email address, occupation and NI number
Apply quickly and easily
- Apply online
- You must fund your Variable Rate Cash ISA within 30 days of opening it
Have you read the terms & conditions?
Before applying please read our Terms and Conditions and our Privacy Statement.
