In this day and age, it is always advised to have savings. Nobody knows what tomorrow will bring and you want to make sure that you have the money you need to get by. Whether you’re saving for a rainy day or have serious plans for the future, the best way to save your money is using an ISA account. These accounts are similar to a basic savings account, but they help you get more by protecting your interest rates from taxation. There are a variety of ISA accounts available, so what should you be looking for when comparing them?

The first thing you can look at is what interest rates are on offer. Your cash ISA account saves you money by keeping the interest you earn out of reach from the arm of the taxman, so you will want an ISA with a good interest rate.

You should also consider whether or not the ISA you are looking at offers a fixed interest rate. You may find an account with a strong AER that isn’t fixed, meaning this could change during the time that you are saving. For example, a variable rate cash ISA account may offer a 2.9 per cent AER for the first 12 months of you holding the account. After that allotted period of time, the percentages can change in accordance with real-time changes of the base rates of the country’s financial market.

In addition to this initial period of a fixed rate, you may also be entitled to a bonus. This could be an additional percentage on top of the rate that you are already receiving. This means that for that period of time, you may receive a 2.8 per cent AER as well as an extra one per cent for a 12-month period. However, it isn’t uncommon for people to move their money after this initial fixed rate and bonus period is over, so it’s important to keep looking for your next ISA account in good time.

It’s also essential that you review the steps that you’ll need to take in order to set the ISA account up. Some banks and building societies will allow you to create a cash ISA with a minimum investment of £1. If you’re new to ISA accounts then this is certainly recommended. You can set the account up on a minimum deposit and then start saving at your leisure.

However, other accounts require a much higher level of commitment. For example, you may be required to invest £1,000 before you can activate and begin using your ISA. Bearing in mind the recent change to the limit of £10,200 that can be saved in an ISA, you will have to know exactly what you are signing up for if you are investing a larger amount of money. Furthermore, the limit for investment into a cash ISA is set at £5,100 until April 5th, so you need to be sure that you want that particular account before you pay out.

As stated previously, the biggest advantage to some of the best ISA deals is that your interest rate is protected from tax, so it’s important to maintain the interest that you earn. However, some accounts will deliver penalties for you withdrawing the money. In other cases, you may be allowed unlimited withdrawals at any time without any sort of repercussions on your interest rates.

Once the account has been set up, you’ll want know when you will be able to withdraw the money that you have been saving. Take a look at how long it will take before you are granted access to the savings. It’s quite common that you will receive instant access to the savings without any problem. However, some accounts do have an allotted period of time in which you can’t withdraw. For example, one account may ask that you wait for 120 days before you can make any withdrawals.

In a similar fashion, you’ve got consider how you’ll be able to access your cash ISA account. In the digital age, the platform of online banking has become very popular among banks and building societies. Most ISA accounts with provide you with online access to your account. However, there are some ISAs that will provide you with a collection of the more traditional methods if you prefer; telephone, post, cash points and in branch.

Be aware, though, that not all these access options will be available with every account. Some may only provide online and telephone access, whereas others may offer both with in-branch access as well. It’s important to choose an access method that is convenient and best suited to how you wish to bank.

Another variable to consider when comparing ISA accounts is their policy on transfers from other ISA accounts. It is more common for banks and building societies to permit transfers from other accounts without any problems. However, some may restrict or forbid transfers from other ISA accounts, so it’s important for you to know which account type does this before setting it up. If you know that you don’t need to the account for transfers, then the elimination of that variable could help you secure a better rate.

There may be other criterion that a bank or building society will require from you before you can open a cash ISA account. For example, if you are a new customer to a particular bank, they may require you to open a card or current account with them before you apply for their ISA. You have got to compare ISAs between banks prior to deciding whether it would be more worthwhile to switch banks. You could end up better off through switching, or it may be more beneficial to open an ISA with your current bank or building society.

Like most things in life, comparing ISAs is vital if you want to find the best option available for you. Finding the option that ticks all your personal boxes is essential if you want to save successfully with your ISA.