What are the best ISAs to guarantee a greater return on your money?

When looking to invest your money or savings, it can be all too easy to get bogged down with all the conflicting information out there. One bank may be offering one type of savings deal, while another may be offering an account with a higher interest rate and other benefits. The truth of the matter is that for each and every one of us there will be a perfect savings option out there. So, where do we start when embarking on a new adventure to compare savings accounts?

When looking for the best savings accounts, it's a case of understanding your financial circumstances and determining your money's potential. Each of us will be at different stages in our lives where savings may mean one thing to one individual and a completely different thing for the next. For example, there may be a 21 year-old saving for flights to immigrate to Australia, while a 35 year-old mother may be saving for her children's future education. The more mature couple may be saving for their retirement fund, while a 26 year-old may be saving for a deposit on their first home. In short, when it comes to saving there is no such thing as one size fits all.

When determining the best ISAs, it is sensible to consider what you are saving for and if there is any chance you may need to get access to this money in the event of an unexpected bill arising. If you want to have the added security of accessing your money whenever you need it, an instant access option may be the most suitable for your needs. Although the interest rate may be lower, if it is better suited to your lifestyle then it's arguably a better-suited option than earning a greater, but more inflexible, return on your investment.

For those who want to get the greatest return possible on their money, it may be worthwhile looking at investing in stocks and shares ISAs. This could see the amount you invest plummet overnight as it is based on the economic markets and the value of stocks and shares. At the same time, however, this type of investment is also liable to come crashing down, so the saver who invests in this should be aware that they could end up getting even less money back than their original investment. In this respect, this should not be the type of saving account for someone who has a young family or who is putting all their life savings into one pot, as sometimes the risks can just be too high to take.

To make the very most of investing in stocks and shares ISAs, it is advisable to leave your money invested for a number of years. The experts generally say you should only really invest in this type of account for a period of more than 10 years. If you are only planning on investing for five years or so, this could be more risky as the stock market rises and falls. The reason investments should be kept in this type of account for longer is because there is more chance of getting a better amount of money retuned while not having to pay any taxes on any gains you do end up making.

As this is a long term type of investment, it is generally considered to be the best way to save for a retirement fund or moving abroad for example. Indeed, this idea is also reflected in the amount we are allowed to invest in the stocks and shares ISAs - which is double what is currently permitted for cash ISAs. The best type of account should be tailored towards the individual's own finances and lifestyle at the time of making the investment. There is no risk involved with a cash ISA for example, but if you are in it for the long term and don't mind if the value of your investment goes up and down while it is invested, a stocks and shares ISA may be a better option.