Nottingham Building Society Online Lifetime ISA Review2.00% AER (Sep 2026)

Lifetime ISA from Nottingham Building Society

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Protection

FSCS

Up to £120,000

Min balance

£1

Max balance

£4,000

Access

Age 60+ or first home

Interest paid

Annually

Transfers in

Not accepted

25% withdrawal penalty - Funds can only be withdrawn penalty-free to buy your first home (property must cost £450,000 or less) or from age 60. Withdrawing for any other reason incurs a 25% government charge, equivalent to losing 6.25% of your own money.

Who Is This For

Learn more about Nottingham Building Society

New and existing savers
Savers happy with a £4,000 cap

Additional Info

Online account - opened and managed via desktop browser or app. No introductory bonus. Does not accept transfers in from any ISA type, so only suitable for new contributions. The government adds a 25% bonus on contributions up to £4,000 per year - worth up to £1,000 annually. For full eligibility rules and first-time buyer conditions see our ISA Guide.

Please verify all details with the provider – for more info read our Disclaimer

Estimated returns with Nottingham Building Society's Lifetime ISA

Want to know how much interest you will receive with Nottingham Building Society's Online Lifetime ISA?

Estimated interest

£1,000 saved

£20.00

At 2% AER

£2,000 saved

£40.00

At 2% AER

£3,000 saved

£60.00

At 2% AER

£4,000 saved

£80.00

At 2% AER

Estimated over one year, assuming the rate stays the same and interest stays in the account. Amounts outside this account's minimum or maximum balance are left out.

Our Expert Opinion on Nottingham Building Society Online Lifetime ISA

This account suits first-time buyers saving towards a property costing up to £450,000, or anyone under 40 building a pot they plan to leave untouched until age 60, and the 25% government bonus on up to £4,000 a year is the real draw rather than the 2.00% rate itself. The genuine catch is that 25% withdrawal penalty: as the small print makes clear, it claws back more than just the bonus, effectively costing you 6.25% of your own contributions if you need the money for anything outside a qualifying home purchase or retirement. If you want a slightly better rate on the same wrapper, Bath Building Society's Lifetime ISA is currently paying 2.60%, and Skipton is at 2.05%, both worth a look before you commit. Transfers in are not accepted here, so if you already hold a Lifetime ISA elsewhere you cannot consolidate it into this account.
Jan Watermann (Co-Founder)DepositScout