Interest rates: Top savings rate compared – how much could you get for your money? | Personal Finance | Finance

Interest rates have been impacted by the Bank of England’s decision in March 2020 to reduce its base rate to 0.1 percent, which had a knock-on effect for familiar providers. As a result, it has been difficult for savers to secure a satisfactory rate to help grow their funds. However, for those who are still looking to put money away – looking for the best interest rates in the UK will be important. 

The Nationwide One Year Triple Access Online Saver currently enables three withdrawals per year, while the Yorkshire offering only one withdrawal per year.

Following closely behind in the interest rates offering is UBL UK, a Financial Services Compensation Scheme accredited bank.

At present, the interest rate on this account is 0.45 percent, and Britons can benefit from unlimited withdrawals.

Rounding up the top 10 instant access accounts in terms of current interest rates are three different banks.

Paragon, Saga and the Punjab National Bank are currently offering savers a 0.40 percent interest rate on savings.

The benefit of all three accounts is that withdrawals are unlimited, meaning savers can access their cash whenever they so choose.

For those who are willing to lock their cash away with no withdrawals permitted during the term, however, Ms Brain highlighted a one year fixed account as a potential option to secure a slightly higher interest rate.

Leading the pack is the one year fixed deposit account offered by Axis Bank which has an interest rate of one percent with a minimum deposit of £1,000.

Savers with My Community Bank can access the next best rate of 0.60 percent if they deposit over £1,000 too.

Following closely behind is PCF Bank which through its one year term deposit account is offering 0.58 percent to savers putting away more than £1,000.

Perhaps less familiar banks Ikano and Oxbury are both offering savers a 0.56 percent interest rate account, again for savings over £1,000.

Similarly unfamiliar, but protected, providers Habib Bank Zurich and Raisin UK are for over £1k savers and offer 0.55 percent interest rates.

For savers with JN Bank and Tipton and Coseley, a 0.55 percent interest rate can be secured for a minimum initial deposit of £100.

Finally, rounding out the offerings is Masthaven Bank, which has a one year fixed term bond offering 0.55 percent.

However, savers will need to put away a minimum deposit of £500 in order to benefit from the offering. 

Ms Brain concluded by offering important advice to those who are considering their options when saving.

She said: “It’s really important to have a rainy day fund that you can access easily should you need to, once you have got that covered you may want to look at longer term savings. 

“The interest rates are low across the board but if you can tie your money up for a longer period, such as a year, you can get a better rate than with easy access.”

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