Interest paid on a cash ISA is tax free and designed to be suitable for short term savings - less than 5 years. Interest is received on the savings at a fixed or variable rate. A stocks and shares ISA is designed to be a tax-efficient way to invest in shares and securities for five years or more, and when you want to share in the potential growth in stock markets. The Innovative Finance ISA enables investors, using lending platforms, to receive tax-free interest over a range of time spans. Direct lending is when individuals lend to borrowers, usually through an online platform. Loan terms and lengths may vary depending on the specific provider.