Moneyfacts Weekly Product News – 17.09.2020

The Moneyfacts.co.uk Pick of the Week showcases the best of the latest products or rate changes to hit the consumer finance market. All the deals highlighted are available now but are subject to change.

OakNorth Bank – 18 Month Fixed Term Deposit

This week, OakNorth Bank has increased the rates payable across a selection of its Fixed Term Deposit products. The 18-month option has received two increases and now pays 1.27% on maturity on minimum investments of as little as £1. The account secures a position within the top 10 when compared to other accounts with similar terms, and could be attractive to those savers looking for a competitive return and who are happy to secure their funds away for the 18-month term, as early access is not permitted. Some investors may be pleased to note though that further additions are available within 14 days of account opening. On balance, the deal earns an Excellent Moneyfacts product rating.

Key product details:

• Rate: 1.27% gross / 1.27% AER, payable on maturity
• Notice / term: 18 months
• Minimum opening amount: £1
• Maximum investment amount: £500,000
• Access: Not permitted
• Further additions: Permitted within 14-days of account opening
• Opening account: Online and via its app
• Managing account: Online and via its app
• Other information: Minimum applicant age 18.

Skipton Building Society – Online Bonus Saver Issue 7

Skipton Building Society has increased the rate on its Online Bonus Saver account by a significant 0.25% this week. Now paying 1.20% on anniversary, this account assumes pole position in the top rate tables when compared against other similar accounts currently offered. Investors should note that a review would be advised after 12 months when the bonus of 0.50% will expire and the rate will reduce. Savers who require flexibility and the ability to access their savings pot may be further pleased to note that this account is one which can be opened and managed online and carries a low minimum investment. The account earns an Excellent Moneyfacts product rating on balance.

Key product details:

• Rate: 1.20% gross / 1.20% AER, payable on anniversary
• Notice / term: None
• Minimum opening amount: £1
• Maximum investment amount: £1,000,000
• Access: Permitted
• Further additions: Permitted
• Opening account: Online
• Managing account: Online
• Other information: Minimum applicant age 16, additional interest payment made at end of bonus term.

West Brom Building Society – WeBSave Single Access ISA

West Brom Building Society has launched a new single access ISA this week, which secures a position in the top rate tables when compared against similar ISAs. Paying 0.90% yearly, those savers who wish to utilise their tax-free ISA allowance and able to meet the minimum investment amount of £1,000 may find this offers an attractive return. This account allows one withdrawal per account year, which means that careful planning would be advised as the rate will drop to 0.05% for the remainder of the account year should more than the one withdrawal be made. The deal earns an Excellent Moneyfacts product rating overall.

Key product details:

• Rate: 0.90% gross / 0.90% AER, payable yearly (variable rate)
• Notice / term: To 30.11.21
• Minimum opening amount: £1,000
• Maximum investment amount: ISA allowance (maximum £500K from transfers)
• Access: Permitted for one withdrawal per account year, rate reduces to 0.05% if more than one withdrawal made
• Further additions: Permitted
• Transfers in: Accepts cash and stocks & shares ISAs to a maximum of £500,000
• Transfers out: Permitted
• Opening account:  Online
• Managing account:  Online
• Other information: Minimum applicant age 16, on maturity paid into a limited access or easy access ISA.

Leek United Building Society – Two-year discounted-variable rate mortgage, 80% loan-to-value

Leek United Building Society made a couple of updates to its residential mortgage range this week. This has included a rate increase of 0.10% being applied to the two-year discounted variable deal at 80% loan-to-value. Now priced at 1.90% for two-years the deal carries a generous incentive package of free valuation and £400 cashback for all borrowers. Furthermore, there is no product fee for this deal, meaning that this product could appeal to those looking keep their set-up costs to a minimum. This combination of features ensures that this deal maintains a position in the top tables and earns an Outstanding Moneyfacts product rating.

Key product details:

• Rate: 1.90% discounted variable rate for two years
• Product fee: None
• Maximum loan-to-value: 80%
• Available to: All borrower types
• Incentives: Free valuation and £400 cashback
• Flexible features: Allows overpayments
• Lending area: England & Wales.

Barclaycard – Platinum 18 Month 0% Purchase and Balance Transfer Visa

In this latest update, Barclaycard has made a small 1% increase to the standard purchase rate on its dual offer credit card, now sitting at 21.9% APR. Despite this increase meaning that purchase borrowing will now be more slightly more expensive, this card continues to provide attractive terms for those who may wish to both make purchases and transfer their debt on an interest free basis for as long as possible. Borrowers will also be able to benefit from savings on live events via Barclaycard entertainment. Overall, this card earns an Outstanding Moneyfacts product rating.

Key product details:

• Introductory rate for purchases: 0% for 18 months
• Introductory rate for balance transfers: 0% for 18 months
• Standard interest rate for purchases: 21.9% APR
• Balance transfer fee: 2.90%
• Card fee: N/A
• Opening method: Online, by phone and in branch
• Card management: Online, by phone, in branch, by post and via its app
• Other information: Minimum age 18, £20,000 minimum income

Virgin Money – Personal Loan

This week Virgin Money has reduced the rates charged across two tiers of it’s Personal Loan. Those looking to borrow between £7,500 and £15,000 will see a reduction of by 0.2%, to 2.9% APR, while those borrowing between £15,001 and £25,000 see the same reduction with borrowing now priced at 3.0% APR. This product has increased its appeal to consumers who may be looking to borrow advances in this bracket as the loan now secures a position within the top rate tables. In addition, some borrowers may be pleased to note that joint applications are permitted. The product earns an Excellent Moneyfacts product rating.

Key product details:

• Representative APR: 2.9%
• Loan period: Rate shown is based on a term of 84 months for a £7,500 borrowing
• Application available: Online or in branch
• Other information: Minimum age 18, same day funds available to existing current account holders only, electronic signature available, joint applications allowed, you may be offered an alternative APR dependent on credit rating.