PUBLISHED: 11:08, Sat, Mar 14, 2020 | UPDATED: 11:08, Sat, Mar 14, 2020
The Lifetime ISA offers eligible savers a 25 percent government bonus on their savings - up to £1,000. It's possible for those with this type of account to pay in up to £4,000 each tax year up until they reach the age of 50.
The £4,000 limit is included in the total £20,000 ISA allowance for the 2019 to 2020 tax year.
This tax year is set to end in a matter of weeks, with the tax year end falling on April 5, 2020.
On the following day, April 6, 2020, the new tax year - 2020 to 2021 - will begin.
This means that the ISA allowance, and the Lifetime ISA allowance, will reset on this date.
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Lifetime ISA: The 2019 to 2020 tax year ends on April 5 (Image: GETTY)
Ahead of this key date, Jen Lloyd, Savings Expert at Skipton Building Society, has explained why now could be a good time to consider depositing money into their Lifetime ISA.
Speaking exclusively to Express.co.uk, Ms Lloyd said: “As the end of the tax year draws to a close, it’s a good time to be thinking about your financial goals and how you can maximise your savings.
"With the upcoming April 6 deadline, savers can cash-in on their tax-free savings by depositing up to £20,000 in their current Isa (the maximum annual ISA allowance).”
Ms Lloyd went on to explain why some people may look to make the most of the £4,000 allowance ahead of this tax year end.