eToro ISA comparison and reviews

If you’re someone who likes their money to work a bit harder, without giving too much away to the taxman, ISAs are probably already on your radar.  In this guide, we take a look at the eToro ISA range, including the cash ISA, Stocks and Shares ISA, and managed options. We’ll also cover interest, transfers, and how to get started.

What is an ISA?

An Individual Savings Account (ISA) is a tax-efficient way to save or invest in the UK. Any interest, dividends, or capital gains you earn inside an ISA are free from UK tax. The amount of money you can put into an ISA each year is limited by the annual allowance set by the Government. The current allowance is £20,000 for the 2025/26 and the 2026/2027 tax year. However, from April 2027, the maximum you can put into a cash ISA (if you’re under 65) will be £12,000, while the overall ISA allowance will remain £20,000. 

There are several different ISA types available, each designed for different saving and investing needs. The key types of ISAs are Cash, Stocks and Shares, Lifetime and Innovative Finance.

Does eToro have ISAs?

Yes. eToro offers three main ISA options offered in a partnership with Moneyfarm. This gives savers and investors a decent amount of flexibility depending on how hands-on they want to be.

Below, we’ll break down each eToro ISA type, including what it’s for and how it works.

Cash ISA

The eToro cash ISA is designed for people who want a low-risk place to hold their savings while earning tax-free interest.

One thing that really stands out here is the rate. At the time of writing, eToro’s Cash ISA offers one of the best rates in the market, making it particularly appealing for savers who want certainty and simplicity rather than exposure to market ups and downs.

Key points:

• Tax-free interest on your savings
• No exposure to market risk
• Competitive, best-in-market interest rate
• Suitable for short- to medium-term savings goals

Best suited for: If your priority is protecting capital while still earning a strong return, the interest on the eToro Cash ISA could be a good option for you.

Stocks and Shares ISA** 

The eToro Stocks and Shares ISA is aimed at investors who are comfortable with market movements and want the potential for higher long-term returns.

With this account, you can invest in stocks and other assets without paying tax on your profits. Stocks are shares of companies. So when you buy them, you own a small part of that company and can earn money if the stock price rises or the company pays dividends. The platform also lets you invest in other assets like ETFs (baskets of stocks) and funds, giving you more ways to grow your money. All profits made inside the ISA, including dividends and gains, are completely tax-free. 

What makes eToro’s version particularly interesting is its current promotional offer – investors can earn up to 3% cashback on their first deposit or ISA transfer amount, which is also a best-in-market deal.

Key points:

• Invest in stocks and other assets tax-free
• Long-term growth potential
• Up to 3% cashback promotional offer***
• Ideal for investors happy to accept some risk

Best suited for: If you’re looking to invest and you’re comfortable with some risk. This could be a good option if you want a competitive ISA with a cashback incentive, particularly those focused on long-term or active investing. 

Managed ISA**

If you like the idea of investing but don’t want to pick and manage investments yourself, the eToro managed ISA could be a good fit.

This option allows your money to be invested on your behalf, based on a chosen risk profile that you decide on. It’s a more hands-off approach, which can be appealing if you’re short on time or confidence.

Key points:

• Professionally managed investments
• Risk-based portfolios
• Tax-efficient investing without DIY decisions

Best suited for: If you’re looking to invest but prefer a hands-off approach and are happy to let professionals make investment decisions on your behalf. This could be ideal if you don’t want to constantly monitor the markets or choose individual investments.

How to open an eToro ISA

Opening an eToro ISA is a straightforward online process. You’ll need to:

• Visit the eToro website
• Choose the ISA type that suits you
• Complete identity checks
• Fund your ISA account (note that this is different to funding your eToro trading account)

You can find full details and start the process directly on the eToro website.

How to transfer to eToro

Already have an ISA elsewhere? An eToro ISA transfer allows you to move an existing Cash, Stocks and Shares or managed ISA without losing its tax-free status. But the assets will be sold and transferred as cash to be invested by you into your new portfolio or stocks/assets of choice, not the original investments.

Transfers are usually handled by eToro’s ISA partner Moneyfarm once you provide the relevant details, and the process is designed to be as smooth as possible. Importantly, transferring doesn’t affect your annual ISA allowance.

For step-by-step instructions and more information, visit the eToro website.

Read ISA reviews before you commit

Before opening any financial account, it’s worth seeing what other customers think. Reading reviews can give useful insight into customer service and overall user experience.

You can read eToro reviews, and compare reviews on different Cash ISA and Stocks and Shares ISA providers on Smart Money People.

Final thoughts

Whether you’re a cautious saver or a long-term investor, the eToro ISA range offers something for most people. The eToro Cash ISA stands out for its market-leading rate, while the eToro stocks and shares ISA adds extra value with up to 3% cashback. For those who prefer a hands-off approach, the eToro managed ISA fills an important gap and also includes the 3% cashback offer.

As always, the right choice depends on your financial goals and risk tolerance. Be sure to do your own research before taking out any financial product.

*This article is a paid advertisement in collaboration with eToro. It’s intended for informational and educational purposes only and does not constitute financial advice.

**A Stocks & Shares and managed ISA could help grow your money, but it’s not risk-free. The value of investments can go up and down, so you may get back less than you invest. Make sure you do your research beforehand.

Cash ISA held in Qualifying Money Market Fund. Variable rate may change immediately. Holding period, promo terms and eligibility criteria apply. The value of your investments may go up or down. Your capital is at risk. Tax treatment depends on your individual circumstances. UK residents only.

***Promotion valid at the time of publication. Check the eToro website to confirm if it’s still running.