NatWest & Ulster Bank are amongst the first banks to offer customers this product in the UK.
The Help to Buy: ISA is a new type of cash ISA with a monthly savings allowance of up to £1,200 in the first month of funding and then up to £200 per month thereafter. The UK Government will give customers a bonus towards the cost of buying their first home - 25% of the amount saved (£50 for every £200 saved). This is payable directly towards the customers home purchase. Customers may save up to £12,000 for a £3,000 bonus, with the minimum bonus being £400 (£1,600 of savings).
NatWest & Ulster Bank will also offer customers a variable interest rate of 2% AER and will continue to ensure its savings products reflect the promises that were made to our ISA customers in 2014. This means that existing savers do not get lower rates than new savings customers.
Angela Byrne, Head of savings at NatWest, commented:
“Across the country house prices continue to rise pushing up the deposits young people need to get on the property ladder. This means it is now more difficult than ever before for young people to take that first step.
“We are very aware of the strains young people in particular put themselves under to save for their first home. With 8 out of 10 of our customers relying on help from their parents this scheme couldn’t be more timely. We also hope it will get our customers in the important habit of saving as research has shown that 34% of people have no savings at all”.
This information is for media use only and is not a financial promotion.
Available to NatWest & Ulster Bank customers aged 16 or over who have never owned property before.