Aldermore's Help to Buy ISA to offer a rate of 2%

From tomorrow, the Help to Buy: ISA is available to new and existing Aldermore customers. Aldermore is an ‘ISA wrapper’ provider, which means customers who already have a cash ISA with the Bank for this tax year (providing their maximum annual contribution does not exceed £15,240); can open a Help to Buy ISA too. Alternatively, the Bank can also accept transfers from other ISA providers.

The new product has been specifically designed to support people looking to buy their first home and allows savers to put away up to £200 a month, which the Government will boost by 25% when they buy their home, up to a maximum of £3,000. In the first month, savers will be able save £1,200, an extra £1,000 on top of the monthly maximum of £200. The account is limited to one per person but multiple bonuses can be used as a deposit for the same property in the case of joint buyers.

The launch follows recent research conducted by Aldermore showing awareness of the Help to Buy ISA is highest among 18-24 and 25-34 year olds. Almost half (48%) of the UK believe the introduction of the Help to Buy: ISA will have significant benefits, compared to 27 per cent who don’t think it will.

Simon Healy, Managing Director for Savings at Aldermore, said:

“The Help to Buy: ISA is a great way for many first time buyers to build a deposit towards their first home. We are delighted to be offering a Help to Buy: ISA and incentivising more people to save.

“Aldermore is also an ‘ISA wrapper’ provider, meaning that we can offer this new ISA to those who have already opened a Cash ISA, in this tax year, but have not taken advantage of their full ISA allowance. This will ensure that our Help to Buy: ISA is available to as many people as possible.”