The best savings rates this week 7.5.20 | moneyfacts.co.uk

Derin Clark

Derin Clark

Online Reporter
Published: 07/05/2020

Savers able to lock their money into a fixed rate bond will be pleased to see that the fixed rate bond chart remained highly competitive this week. As well as this, while the easy access chart has seen rates fall over the last few months there are still some competitive rates available in this chart, although savers are urged to act quickly to secure the best deals.

Savers should be aware that although we have included accounts that can be opened and managed in branch, consumers are advised to check with the bank or building society to ensure this service is still available, as many are only providing essential banking services in branch at the moment due to the Government’s restrictions on movement.

The best fixed rate bonds savings rates

Provider Account Term Rate AER
RCI Bank UK Fixed Term Savings Account Five years 1.90%

Bank of London and The Middle East

FCMB Bank (UK)


Investec Bank plc


RCI Bank UK


Gatehouse Bank


PCF Bank

Premier Deposit Account

Raisin UK – 3 Year Fixed Term Deposit

3 Year Fixed Term Deposit

Fixed Term Savings Account

Fixed Term Deposit


3 Year Term Deposit Issue 15

Three years


Three years


Three years


Three years


Three years


Three years

1.75% (expected profit rate)

1.75%


1.75%


1.75%


1.75% (expected profit rate)

1.75%

Bank of London and The Middle East Premier Deposit Account Two years 1.70% (expected profit rate)

Bank of London and The Middle East

Habib Bank Zurich plc

Premier Deposit Account

HBZ Fixed Rate eDeposit

One year


12 months

1.55% (expected profit rate)

1.55%

This week RCI Bank UK continued to offer the top paying fixed rate bond with its Fixed Term Savings Account paying 1.90% gross on anniversary. This five-year bond requires an opening minimum deposit of £1,000. It can only be opened and managed online. There is a version of this account that pays interest monthly at a slightly lower gross rate.

Six providers offered the best rate of 1.75% in the three year fixed rate bond chart this week. Bank of London and The Middle East (BLME) pays an expected profit rate of 1.75% gross on anniversary on its Premier Deposit Account. To open this account a minimum deposit of £1,000 is needed. As well as this, a BLME transfer account to hold funds pending investment is required. This account must be opened online but can then be managed by post. FCMB Bank (UK) pays 1.75% gross on maturity on its Raisin UK – 3 Year Fixed Term Deposit, which requires a minimum opening deposit of £1,000. This account must be opened online but can then be managed by post and by phone as well. Investec Bank plc pays 1.75% gross on anniversary on its 3 Year Fixed Term Deposit. This account requires a minimum opening deposit of £25,000. It must be opened online, but can be managed online, by phone and via mobile app. There is a version of this account that pays interest monthly at a slightly lower gross rate. RCI Bank UK pays 1.75% gross on its Fixed Term Savings Account, which requires a minimum deposit of £1,000 to open. It must be opened and managed online and there is also a version of this account that pays interest monthly at a slightly lower gross rate. Gatehouse Bank pays an expected profit rate of 1.75% gross on anniversary on its Fixed Term Deposit. To open this account a minimum deposit of £1,000 is needed and it can only be opened and managed online. PCF Bank pays 1.75% gross on anniversary on its 3 Year Term Deposit Issue 15, which requires an opening minimum deposit of £1,000. It can be opened online and by post and then managed online, by post and by phone.

BLME also had the top paying two year fixed rate bond this week. The two year version of its Premier Deposit Account pays an expected profit rate of 1.70% gross on anniversary. This account requires a minimum deposit of £1,000 to open. It also requires a BLME transfer account to hold funds pending investment. It must be opened online and then managed by post.

Both BLME and Habib Bank Zurich plc offered the top rate in the one year fixed rate bond chart this week. The one year version of BLME’s Premier Deposit Account pays an expected profit rate of 1.55% gross on maturity. To open this account a minimum deposit of £1,000 is needed, as well as a BLME transfer account to hold funds pending investment. It can only be opened online and then must be managed by post. Habib Bank Zurich plc pays 1.55% gross on maturity on its HBZ Fixed Rate eDeposit, which also requires a minimum opening deposit of £1,000. This account must be opened online but can then be managed in branch and by post.

The best easy access savings rates

Provider Account Notice Rate AER
RCI Bank UK Freedom Savings Account None 1.20%
Marcus by Goldman Sachs® Online Savings Account None 1.20%
SAGA Saga Easy Access Savings Account None 1.20%, including a 0.20% bonus for 12 months

Remaining at the top of the easy access savings chart this week was RCI Bank UK which offers the best gross rate of 1.20%. This rate is paid on its Freedom Savings Account, which pays interest on anniversary. The account requires a £100 minimum deposit to open. It allows unlimited further additions and withdrawals. The account can only be opened and managed online.

Both Marcus by Goldman Sachs® and SAGA pay the second best easy access gross rate of 1.19% this week. Marcus by Goldman Sachs® pays 1.19% gross monthly on its Online Savings Account. This account does not require a deposit to open but a UK mobile number is needed. It allows unlimited further additions and withdrawals. SAGA pays 1.19% gross on its Saga Easy Access Savings Account, which includes a 0.20% bonus for 12 months. This account pays interest monthly and requires a £1 minimum deposit to open. It allows unlimited further additions and withdrawals. Both these accounts must be opened online but can then be managed online and by phone.

The best notice account rates

Provider Account Notice Rate AER
ICICI Bank UK

Raisin UK – 95 Day Notice Account

HiSAVE Notice Savings Account

95 days


95 days

1.60%


1.60%

Shawbrook Bank

 

Monmouthshire Building Society

45 Day Notice Personal Account Issue 3

60 Day Notice Account – Issue 2

45 days

 

60 days

1.30%

 

1.30%

Teachers Building Society

Teacher Home Saver


Union Home Saver

35 days


35 days

1.30%


1.30%

The top rate available in the notice account chart this week came from ICICI Bank UK which pays 1.59% gross monthly on both its Raisin UK – 95 Day Notice Account and its HiSAVE Notice Savings Account. Raisin UK – 95 Day Notice Account requires a minimum deposit of £1,000 to open and does not allow any further additions. Withdrawals are permitted but of the full account balance and subject to 95 days’ notice and account closure. This account can only be opened online but can then be managed online, by post and by phone. HiSAVE Notice Savings Account requires a minimum opening deposit of just £1, but is only available to new and existing HomeVantage Current Account customers. It allows unlimited further additions and withdrawals can be made subject to 95 days’ notice and via a linked ICICI Bank current account. This account can be opened and managed online, in branch and by phone.

Shawbrook Bank pays a highly competitive rate of 1.30% gross on its 45 Day Notice Personal Account Issue 3. This account pays interest on anniversary and requires a minimum opening deposit of £1,000. It allows further additions and withdrawals are permitted subject to 45 days’ notice. This account must be opened online but can then be managed by phone as well. Monmouthshire Building Society also pays the competitive rate of 1.30% gross yearly on its 60 Day Notice Account – Issue 2. To open this account a £1,000 minimum deposit is needed and it allows unlimited further additions. Withdrawals are permitted subject to 60 days’ notice, if notice is not given, earlier access is allowed but subject to 60 days’ loss of interest. It can be opened and managed online, in branch and by post. There are versions of both these accounts that pay interest monthly at a slightly lower gross rate.

For those looking for a slightly lower notice period, Teachers Building Society also pays 1.30% gross on its Teacher Home Saver and its Union Home Saver both of which require just 35 days’ notice. Teacher Home Saver is only available to teachers, while Union Home Saver is only available to NEU members. Both these accounts require a minimum opening deposit of £100. They allow unlimited further additions and withdrawals are permitted subject to 35 days’ notice. These accounts permit immediate access if funds are used towards a TBS mortgage and all withdrawals must be made via Faster Payments Service to a nominated account. Both accounts can be opened and managed online and by post.

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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