Nutmeg Review best Isa interest rate 17.35% (L.I.S.A), 7.35% (ISA)

Lifetime Individual savings account L.I.S.A

Nutmeg is a digital investment savings accounts investing in ETF’s exchange-traded funds. I use the Lifetime individual savings account (L.I.S.A) also the individual-saving account (I.S.A.).

Below are the topics I have covered click onto relevant topic to view.

What Is a L.I.S.A. investment?

L.I.S.A for First-time buyers.

L.I.S.A for retirement

Is nutmeg isa good?

Is Nutmeg protected by fscs?

How does Nutmeg make money?

Nutmeg Past Performance

Join me growing my wealth.

Opening a Nutmeg Account

FACT: – Nutmeg is now the largest digital wealth manager in the U.K. with over 100,000 customers.

I have been using Nutmeg for the last two years now and have no complaints they send regular newsletters have blogs for you to read and keep you well informed on any changes they are making.

It is an excellent service where else would I receive 17.35% interest on any savings account in 2020 -2021

Highest savings account Around

I have achieved a 17.35% Return on investment (R.O.I.) for my L.I.S.A. see images below.

I have also achieved 7.35% R.O.I. on my I.S.A. account see further down the page for more images and examples.

What Is a L.I.S.A. investment?

A lifetime Individual Savings Account, used for retirement or first-time buyer’s abbreviation L.I.S.A.

It is an I.S.A. with a lifetime wrapper it is a savings account protected from tax in the future just like an isa.

But a L.I.S.A. comes with some rules, I have listed them below but check out my results on the images, so the rules do not put you off.

  • £400 minimum investment.
  • Under the age of 40
  • First Time buyers can use to build up a deposit.
  • Large penalties if funds are withdrawn before 60 years old. (WAS 25% now 20%)
  • 25% top-up off the government only paid until 50 years old.
  • 25% on first £4,000 each year (£1,000 free every year)

One of the most significant gains from opening a Lisa is that you will receive a 25% bonus from the government on top of any money you pay in up to £4000 to receive a free £1000 a year for just investing.

Like you I do not have £4,000 a year just hanging around anywhere, but I use the account to my advantage I just put £50 a month in and if I have any extra, I feel I will not need I stick it in as well.

£600 paid in then government top-up of £150 so £750 a year for the next ten years for me I have had the account open for two years now my total contributions have been £1863 and the interest I have received is £323 which is 17.32% interest on my savings see screenshot below from my account.

Lifetime Individual savings account L.I.S.A
My NutMeg account screenshot

The example below also shows you what can also happen when COVID-19 stopped the economy and the world.

My L.I.S.A Nutmeg

I set my risk level at full 10/10 on the scale.

You do a survey when opening your account to help you decided on risk level, its money I do not mind losing, so mine is max.


  • Under 40 years old to open
  • Government top-up only until 50 years old
  • Heavily penalised if you want to withdraw any funds.
  • Cash-out first-time buyer or 60 years old

Ready to open an account click here ( Email needed for six-month discount)

L.I.S.A for First-time buyers

Get 25% Free or £4000 free from the government, for first-time buyers.

Yep, you heard me right, £4,000 a year. More likely £2,000 between you and your partner than four but it is still free money.

How do I do this? I hear you say?

It is all about using your 25% tax-free yearly government contribution on your L.I.S.A to your advantage.


 You have £16,000 saved for a deposit and are hoping to get to 20k typical deposit.

10% deposit 200k house = 20k

Open two accounts now one for you and one for your partner then put £4000 in each now you will receive £1000 each from the government.

After April you put the other £4000 in each and receive another £1000, making £2000 to make total fund 20k.

The rest of the funds you have saved can go towards legal fees and surveyors reports.

Click here for my full blog on the subject.

Counting cash return from L.I.S.A investment

L.I.S.A for Retirement

Is a L.I.S.A. suitable for retirement, in my opinion, yes, it is a tax-free way of earning some extra money?

If you have a company pension the company contributes and yourself before tax so saving yourself 20-40% tax so it would be beneficial to put the money into your pension instead.

But I like to take a bit of risk and do not want to risk my full pension on the stock market’s volatility so how I look at the L.I.S.A. for retirement is.

To build a fund for a one-off purchase when I am 60 you can take full amount tax-free, I am thinking along the lines of replacing them or putting it towards a holiday home have a once in a lifetime holiday something to enjoy retirement.

I wouldn’t say I like the thought of having all your eggs in one basket.

But having said that if you can contribute more into your pension, it makes more sense than a L.I.S.A. it is just personal preference.

Is nutmeg isa good?

If you have not had a look at my Lisa account above, please check out the screenshots I have had 17.35% R.O.I. on that which is excellent.

If you are looking for an I.S.A. with a reasonable return rate, I suggest a serious look at Nutmeg.

I opened it in November 2019 see screenshot below dated the 18th of Jan 2021 which is today.

ISA return of 7.40% +£171
Best ISA return 2020

The next screenshot shows you how it can turn ugly as well this was the end of the world when covid-19 was first found on the scene in the U.K.

With all high-risk investments, they can go up as well as down.

ISA account fluctuations
Loss Due To Covid-19

I did get a bit of a panic on and want to take the money out, but I held firm, and it paid off for me it seems to happen all the time across history

As part of my self-help, I read naked Trader which teaches you how to trade the stock market Click here to read the review. It is well worth the read.

Is Nutmeg a good investment?

The answer to the question is nutmeg isa good I would say yes, but it depends on your risk level, and funds.

Do not worry as they do a risk assessment on you before you decide to help you choose your risk level.

I think a 7.35% is an excellent R.O.I. A standard isa is returning 0.56%.

So, now I see Nutmeg is a perfect passive income investment for me to start with.

The only thing I have not done is to try to withdraw any funds. I have just been through the process; it is straightforward. See the screenshot I have below.

The difference between my funds in my account and below is £0.15p, so I do not mind that I think the system rounds up to the decimal place.

Nutmeg I.S.A closing statement
My closing statement payment due 3-7 days

I have covered every aspect here on Nutmeg from when I opened my account to hopefully reassure you that all is good, and they are trustworthy.

Is Nutmeg protected by fscs?

Yes, your funds are protected by fscs, but it does not cover losses because of the stock market’s movement.

If Nutmeg were to go bust and close you would get your money back for all the latest info, click here and provide your email its required to receive your six months a fee-free account.

How does Nutmeg make money?

Nutmeg makes its money by charging account fees. They set an account management fee from 0.25% – 0.75% dependent upon the account’s fund size. They will also charge a position fee when they open a position in the stock market for you.

To visit the site and find out more click here ( Email required for six months discount and my Affiliate reward)

Nutmeg past Performance

As you can see from the graph taken from nutmegs website below the past performance has been excellent this is set at a risk level of 6 out of 10 is you set it at 10 out of 10 you should have had 100% return.

nutmeg past performance
past performance graph for nutmeg accounts risk level 6/10

As you can on this graph the same as my savings above the blip in March for pesky covid-19 we seem to be back on track now.

Join me growing my wealth.

It is now 2021. I decided to take the bull by the horns, give myself a shake and start looking at how and what to do with my finances to become financially free in the future Finger crossed retire by the time I am 50.

I do not want to rely on a government pension or my own I want to grow assets that look after themselves and ultimately me and my family.

If you wish to follow me and my investments, I create 1-2 blogs/reviews a week about financial books and assets I am following or own.

I am also going to post a monthly in-depth blog; about everything I have done that month.

I hope you have enjoyed my blog as much as I have writing the blog.

I hope you will join me and let me know in the comments your thoughts on Nutmeg or anything else that it’s lonely being a keyboard warrior.

Disclaimer: –

All the figures I have used are achieved results which to date it is not a promise of what will happen in the future it is up to you to decide your risk levels and invest appropriately.

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This blog has been checked with Grammarly premium.

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Published by J Little

Jonathon Little 39 years old passive affiliate income website owner.

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