Boost savers as banks unveil new offerings
Investors are being given a boost as some banks announced new deals on Friday.
First Direct is launching a one year fixed rate savings account with an interest rate of 4.60% AER (Annual Equivalent Rate) effective Tuesday 30th May.
The offer is only valid for First Direct customers with a 1st account checking account. The bank is currently offering £175 cash to switch to their checking account, subject to terms and conditions.
Customers can save any amount between £2,000 and £1million on the new savings account and open multiple fixed rate savings accounts if needed. The account opening must be done by phone, said First Direct.
Launching a new account is just one of many things we’ll be rolling out over the next few weeks
The new deal will complement First Direct’s existing range of savings products.
Lloyd Robson, Head of Banking and Propositions at First Direct, said: “This new account launch is just one of many actions we will be rolling out over the next few weeks.”
With the Bank of England interest rate hike, savings rates have been creeping up.
Financial information website Moneyfacts said it was possible for savers to find fixed rate savings deals above 5%.
Shawbrook issued a one-year fixed rate note at 5.06% AER and a one-year fixed rate ISA at 4.43% AER on Friday.
In addition, tariffs have been increased to 3.55% AER for the Easy Access ISA account and 3.75% AER for the Easy Access account.
Shawbrook’s 5.06% savings product topped Moneyfacts’ “Best Buy” ranking for comparable one-year fixed contracts on Friday.
According to Moneyfacts filings, Investec Bank is offering a two-year fixed rate note at 5.15% AER.
Marsden Building Society was also on Moneyfacts’ top tables for floating rate cash isas with a deal at 4.00% AER.
Easy-access accounts, termination accounts and one-year fixed-rate bonds have improved thanks to a combination of Bank of England rate hikes and vendor competition
James Hyde, a spokesperson for Moneyfacts, said: “There have been some notable areas in the savings market that have seen positive upturns, which may appeal to consumers who want flexibility with their cash or are just willing to spend their money over the years to lock away.” short-term.
“Easy access accounts, call accounts and one-year fixed notes have improved thanks to a combination of Bank of England rate hikes and vendor competition.
“For savers who are comparing their existing accounts, switching may make sense as it could allow them to earn higher interest rates.
“A similar picture can be seen with Isa, which is good news for those who have not yet claimed their Isa allowance.”
https://www.standard.co.uk/business/money/boost-for-savers-as-banks-unveil-new-deals-b1083941.html Boost savers as banks unveil new offerings