Open a Lifetime ISA online today.

Important Lifetime ISA information

Lifetime ISA will soon be moving to a new home

Soon, we’ll be moving our Lifetime ISA to Beehive Money so you can manage your money anytime, anywhere, all from your mobile phone. Beehive Money is the new savings app and website from The Nottingham. You will continue to have the reassurance that comes with being part of an established building society, whilst getting all the digital tools you need to manage your money in a way that suits you.

So, who is Beehive Money?

Beehive Money is the new savings app and website from The Nottingham. You will continue to have the reassurance that comes with being part of an established building society, whilst getting all the digital tools you need to manage your money in a way that suits you.


Some of these changes will impact the way new customers apply and right now that means we are not accepting transfers of Lifetime ISAs from other providers.
Find out more here.

If you’re aged between 18 and 39 years, a Lifetime ISA (also known as LISA) could earn you up to £1,000 per year from the Government until you reach your 50th birthday. For every £4 you save, you’ll receive a £1 Government bonus - you can then use this money to put towards your first house, or your retirement. 

With the Lifetime ISA, the maximum you can save in a tax year is £4,000, meaning your Government bonus will be a maximum of £1,000 a year.

Account details

  • 25% Government bonus

  • UK residents aged 18-39

  • Open online with £10 today

  • Earn interest tax-free

  • Deposit up to £4,000 per year

  • Save for your first house or retirement (from age 60)

  • We no longer accept transfers in

    To find out more click here

What you'll need to open an account

Make sure you have the following bits of information to hand when you start your application:
  • National Insurance number
  • Sort code and account number for the bank account you will make your first payment from
  • Your previous address if you've not lived at your current home for more than six months.

Summary table

Account name

Lifetime ISA Issue 3.

What is the interest rate and is it fixed?

The annual interest rate is variable and currently set at 0.80% p.a./AER*. The annual interest is tax-free.

Will I be taxed on the interest?

No. The interest you’ll receive will be paid free of UK income tax, however, the tax treatment of ISAs could change.

How do I get the bonus payments?

The Government will pay a 25% bonus on your contributions, up to a maximum of £1,000 a year.

Can I withdraw my money?

Any withdrawals made from your Lifetime ISA will incur a 25% Government withdrawal charge which means you could get back less than you paid in. After the first 12 months, you can withdraw money to buy your first home, however if you make any other withdrawals before the age of 60, the Government withdrawal charge will apply (unless you are diagnosed with a terminal illness). Find out more about this below.

How can I open a Lifetime ISA with The Nottingham?

You can open a Lifetime ISA with us online. Click on the apply now button on this page. You’ll need to have certain information to hand, you can find the full list below.

Must my first house meet any criteria to be eligible?

Yes. You need to have had your Lifetime ISA open for at least 12 months before you can withdraw money to purchase a house. House price must not exceed £450,000 to be eligible. Please read our key features document to find out more about the criteria.

Additional information

If you are looking to use the Lifetime ISA as part of your retirement planning and are employed you should consider the potential availability of a workplace pension scheme and your tax position. If you save in a Lifetime ISA instead of enrolling in, or contributing to, a pension scheme from your employer or personal pension scheme:
  • you may lose the benefit of any employer contributions to that scheme; and
  • your current or future entitlement to means-tested benefits may be affected (these depend on the amount of income and capital you have, which includes savings).

Key product information

To find out more download our key product information guide.

0.80% tax-free annual interest/AER plus 25% Government bonus

What you'll need to open an account

To open an online Lifetime ISA you'll need your National Insurance number, sort code and account number for the bank account you will make your first payment from and your previous address if you've not lived at your current home for more than six months.

The Hub

Whether you're looking for help to buy your first home, want to know how best to save for a family or your retirement, or simply how to become a landlord, make The Hub your one stop blog for all your financial guidance

Your savings are protected

Your eligible deposits with Nottingham Building Society are protected up to a total of £85,000 by the Financial Services Compensation Scheme, the UK's deposit protection scheme.

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Opening an account

Find out if you're eligible for a Lifetime ISA below.

In order to open a Lifetime ISA you must:

  • Be a UK resident
  • Be saving for your first home or retirement
  • Be aged between 18-39
  • Have at least £10 to open your account with
  • Be able to provide us with your National Insurance number
  • Meet our ID requirements and the HMRC eligibility checks.

What you'll need to open an account

Make sure you have the following information to hand when you start your application:
  • National Insurance number
  • Sort code and account number for the bank account you will make your first payment from
  • Your previous address if you've not lived at your current home for more than six months.

Managing your account

Navigating your account is a straightforward process. Find out more about the regulations of the account here.

Paying money in

You can deposit up to £4,000 each tax year, until your 50th birthday. When you turn 50 you will not be able to make further deposits into your Lifetime ISA or earn any further 25% bonuses. Deposits will count towards your overall ISA limit of £20,000 for the current tax year. 

You’ll need at least £10 to open your account.

Taking money out

You can withdraw money from your Lifetime ISA if you’re:
  • buying your first home
  • aged 60 or over
  • terminally ill, with less than 12 months to live

Important note: All withdrawals outside of those stated above will have a 25% withdrawal charge. If you decide to close your account within the first 30 days you will also be exempt from the 25% withdrawal charge. 


Rates and account details

Find out more about the particulars of a Lifetime ISA below.

When will my interest be paid?

We’ll pay your annual tax-free interest into your Lifetime ISA on the 5th April each year. 

Here is a rough example of what you could save and get from the Government – the actual amount will be determined by the date you deposit your money and when the Government bonus is paid.

Current interest rates from 13 Jan 2021

Balance Tax-free p.a./AER*
£10 0.80%

The maximum you can save each tax year is £4,000. The Government will pay a 25% bonus of up to £1,000 each tax year. You can withdraw money from a Lifetime ISA to buy your first home, or at age 60. Other withdrawals will usually mean a 25% Government charge, so you could get back less that you put in. 

What is a Lifetime ISA?

Our Lifetime ISA is an account that gives you a 25% Government bonus on payments into the account each month, up to a maximum balance of £4,000 annually and you don’t pay tax on your interest.

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Scratching your head about savings? Take a look at questions that our members frequently ask us, which you might also find helpful. 

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