The Best Monthly Interest Easy Access Accounts | moneyfacts.co.uk

Derin Clark

Derin Clark

Online Reporter
Published: 10/11/2020

With easy access savings rates at historic lows, many savers are looking for ways to boost the interest earned on savings. One option is to choose an easy access savings account that pays interest monthly. Many accounts that pay interest monthly require the interest to be compounded, so that it is added to existing funds, which over time can result in a larger savings pot than if interest was added yearly or on maturity.

Alternatively, savers with a significant lump sum of money could decide to opt for an account that pays interest monthly as a way of boosting their monthly incomes. Savers wanting this option need to ensure that the account they choose allows interest to be paid away and not compounded.

The best monthly interest rate

Both Atom Bank and ICICI Bank UK have chart-topping easy access saving account rates and pay interest monthly, which is compounded. Atom Bank pays 0.75% gross on its Instant Saver. This account does not require a minimum deposit amount to open. Unlimited further additions are allowed, and withdrawals can be made at any time. Savers should be aware that it can only be opened and managed via mobile app.

ICICI Bank UK pays 0.75% gross on its SuperSaver Savings Account. Interest on this account is compounded. It is only available to new and existing HomeVantage Current Account customers. There is no minimum deposit amount needed to open the account. Further additions are allowed, and withdrawals can be made at any time via a linked ICICI Bank current account. This account can be opened online, in branch or by phone and then managed online, in branch, by post and via mobile app.

Monthly interest account with a bonus rate

SAGA pays interest monthly on its Saga Easy Access Savings Account, which has a rate of 0.70% which includes a 0.15% bonus for 12 months and interest is compounded. This account is operated by Goldman Sachs International Bank and requires a £1 minimum deposit to open. Unlimited further additions and withdrawals are permitted. This account must be opened online but can then be managed online and by phone.

Top Sharia’a compliant monthly profit rate

The best monthly profit rate being offered on a Sharia’a compliant account comes from Al Rayan Bank which pays an expected profit rate of 0.70% gross on its Everyday Saver (Issue 2). Expected profit on this account is compounded. A minimum deposit of £500 is needed to open the account, which allows further additions. Withdrawals can be made at any time. This account can be opened and managed online, in branch, by post, by phone and via mobile app.

Competitive monthly interest account with withdrawal restrictions

Paragon Bank pays 0.65% gross monthly on its Triple Access Account (Issue 2), but there are withdrawal restrictions with this account. It needs just a £1 minimum deposit to open and allows unlimited further additions. Savers should be aware that withdrawals are restricted to three in a 12 month period, and if more withdrawals are made the rate falls to 0.25%. This account can only be opened and managed online. There is also a version of this account that pays interest on anniversary at the same gross rate.

Compare monthly interest easy access accounts

To see all the monthly interest easy access accounts available, visit our easy access savings account comparison chart. Alternatively, to see all monthly interest accounts visit our monthly interest account comparison chart.

Disclaimer

Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

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