The Best Savings Rates This Week 27.11.20 | moneyfacts.co.uk

Derin Clark

Derin Clark

Online Reporter
Published: 27/11/2020

This week saw a number of highly competitive savings accounts have rates cut, most noticeable NS&I cut a range of its saving rates, which was first announced in September. As well as this, Saga reduced the rate on its easy access savings account this week. Meanwhile, rates also fell in the fixed rate bond and notice charts during the week.

The best fixed rate bond savings rates

Provider Account Term Rate AER
Bank of London and The Middle East Premier Deposit Account Five years 1.40% (expected profit rate)
Bank of London and The Middle East
JN Bank
Premier Deposit Account
Fixed Term Savings Account

Three years

Three years

1.20% (expected profit rate)
1.20%
Ford Money Fixed Saver 2 Year Two years 1.10%

Habib Bank Zurich plc

Al Rayan Bank

Tandem Bank

HBZ Fixed Rate eDeposit
Fixed Term Deposit

Tandem 1 Year Fixed Saver

12 months

12 months

One year

0.85%

0.85% (expected profit rate)
0.85%

 

Although AgriBank tops the five year fixed rate bond chart with a rate of 1.70% gross, savers should be aware that this is a Malta-based bank and, as such, after the UK transitional period for leaving the EU ends on the 1 January 2021, deposits with this bank will no longer be protected by the UK Financial Services Compensation Scheme (FSCS). The next best rate is being offered by Ikano Bank, which pays 1.41% gross. Ikano Bank is believed to be in the process of applying for a UK licence, but as this has not been confirmed at the time of writing, savers should be aware that their deposits with this bank may not be covered by the FSCS on 1 January 2021.

The best five year fixed bond rate that is protected by the FSCS comes from Bank of London and The Middle East (BLME), which pays an expected profit rate of 1.40% gross on anniversary on the five-year version of its Premier Deposit Account. There is also a seven-year version of this account that also pays an expected profit rate of 1.40% gross on anniversary. Both options require a £1,000 minimum deposit to open, along with a BLME transfer account to hold funds pending investment. The accounts must be opened online and then managed by post.

Both BLME and JN Bank topped the three year fixed rate bond chart this week. BLME pays an expected profit rate of 1.20% gross on anniversary on the three-year version of its Premier Deposit Account. To open this account, a £1,000 minimum deposit is needed, as well as a BLME transfer account to hold funds pending investment. The account can only be opened online and then managed by post. JN Bank pays 1.20% gross on anniversary on its three-year version of its Fixed Term Savings Account, which requires a £1,000 minimum deposit to open. This account can only be opened and managed online.

The top rate in the two year fixed bond chart this week came from Ford Money, which pays 1.10% gross on anniversary on its Fixed Saver 2 Year account. This account is only available to existing customers. It requires a minimum deposit of £500 to open. The account can be opened online or by phone but can then only be managed online. There is also a version of the account that pays interest monthly at a slightly lower gross rate.

Three providers offer the top-paying one year fixed bond rate that can be confirmed will remain protected by the FSCS in January. Habib Bank Zurich plc pays 0.85% gross on maturity on its 12-month HBZ Fixed Rate eDeposit account. This account requires a £1,000 minimum deposit to open. It must be opened online but can then be managed in branch and by post. Al Rayan Bank pays an expected profit rate of 0.85% gross quarterly on its 12-month Fixed Term Deposit. To open this account, a £5,000 minimum deposit is needed. It can be both opened and managed online, in branch, by phone and via mobile app. Tandem Bank pays 0.85% gross on anniversary on its Tandem 1 Year Fixed Saver. This account requires a £1,000 minimum deposit to open and must be opened online. It can then be managed by post and by phone.

Compare the best fixed rate bonds

The best easy access savings rates

Provider Account Notice Rate AER
ICICI Bank UK SuperSaver Savings Account None 0.75%
Al Rayan Bank Everyday Saver (Issue 2) Instant 0.70% (expected profit rate)

Earl Shilton Building Society
Aldermore

Teachers Building Society
UBL UK

Progress

Double Access Account Issue 1
Teachers for Teachers (Issue 1)
Online Easy Access

Instant

None

None

None

0.60%

0.60%

0.60%

0.60%

 

The top easy access savings account rate this week came from ICICI Bank UK, which pays 0.75% gross monthly on its SuperSaver Savings Account. This account requires a £1 minimum deposit to open and is only available to new and existing HomeVantage Current Account customers. It allows unlimited further additions. Withdrawals are permitted but must be made via a linked ICICI Bank current account. It can be opened online, in branch or by phone and then managed online, in branch, by post and via mobile app.

The second-best rate came from Al Rayan Bank, which pays an expected profit rate of 0.70% gross monthly on its Everyday Saver (Issue 2). To open this account, a £500 minimum deposit is needed. It allows unlimited further additions and withdrawals. The account can be both opened and managed online, in branch, by post, by phone and via mobile app.

Four accounts offered the third-best easy access rate this week. Earl Shilton Building Society pays 0.60% gross yearly on its Progress account, which requires a £100 minimum deposit to open, and is only available to existing members and locals in postcode areas: LE, CV9-13 and DE11-15. This account allows further additions. Withdrawals are permitted but savers should be aware that a lower rate is paid if more than six withdrawals are made per annum. The account can be both opened and managed in branch and by post. Aldermore pays 0.60% gross on anniversary or monthly on its Double Access Account Issue 1. This account requires a £1,000 minimum deposit to open. Further additions are allowed. Savers can make two withdrawals per annum, and any further withdrawals made result in a lower rate being paid. The account must be opened and managed online.

Teachers Building Society’s Teachers for Teachers (Issue 1) account pays 0.60% gross yearly, but this account is only available to teachers and other teaching professionals. It requires a £5,000 minimum deposit to open. Unlimited further additions are allowed. Withdrawals are restricted to three per calendar year, and if four or more withdrawals are made, the Extra Ordinary Account rate is paid instead. The account can be opened online or by post and then managed online and by phone. UBL UK pays 0.60% gross yearly on its Online Easy Access account, which requires a minimum deposit of £500 to open. Further additions are allowed. One free withdrawal per calendar month is permitted and then £1 is charged for each extra withdrawal. The account can be opened in branch or by post and then managed online.

Compare the best easy access savings accounts

The best notice account rates

Provider Account Notice Rate AER
UBL UK 90 Day Ameen Islamic Notice
90 Day Notice

90 days

90 days

1.00% (expected profit rate)
1.00%
UBL UK 35 Day Notice 35 days 1.00%
Harpenden Building Society 30 Days' Notice 30 days 0.75%

 

UBL UK dominated the notice account charts this week, offering the best rates in the up 90 days and up to 60 days charts. It’s 90 Day Ameen Islamic Notice account pays an expected profit rate of 1.00% gross half-yearly, while its 90 Day Notice and 35 Day Notice both pay 1.00% gross half-yearly. All accounts require a £1 minimum deposit to open and allow further additions. Withdrawals on the 90 Day Ameen Islamic Notice account are allowed subject to 90 days’ notice, or if notice is not given, earlier access is permitted subject to a 50% reduction in total profit calculated. Withdrawals on the 90 Day Notice account are permitted subject to 90 days’ notice or, if notice is not given, earlier access is allowed subject to 90 days’ loss of interest. On the 35 Day Notice account, withdrawals are allowed subject to 35 days’ notice, and again if notice is not given, earlier access is permitted but subject to 35 days’ loss of interest. These accounts can be both opened and managed in branch and by post.

The top rate in the up to 30 days’ notice chart comes from Harpenden Building Society, which pays 0.75% gross half-yearly on its 30 Days’ Notice account. This account is restricted to existing members who have held an account prior to 1.12.13 and requires a £1,000 minimum deposit to open. It allows unlimited further additions. Withdrawals can be made subject to 30 days’ notice, or if notice is not given, earlier access is allowed but subject to 30 days’ loss of interest on amounts withdrawn below £10,000, but penalty-free instant access withdrawals are allowed on balances above £10,000. The account can be opened in branch or by post and then managed online, in branch and by post.

Compare the best notice accounts

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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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