Top 10 Savings Accounts in the U.K

Although it is challenging to find high-interest savings accounts, you should make the most of your savings. However, some institutions give pathetic rates of just 0.01 per cent. So, go for the best!

Your requirements and preferences will determine which savings account is ideal for you. However, an easy-access savings account is the most straightforward because you can add or withdraw money whenever you choose, subject to a few limitations.

Easy access accounts don’t offer the highest interest rates because of their flexibility, but some still offer higher rates than others, so comparing them is always worthwhile. Our finance specialist looks at the top 10 savings accounts in the U.K.

The Best Savings Accounts

NOTE: Although these accounts are accurate as of the publication date, offers and rates frequently change.

1.  UBL U.K Savings Account

Why we chose it: You can manage several accounts using UBL NetBanking. And since all accounts are linked, you can transfer money between them and set up automatic transactions. You can view, print, or email account statements in real-time.

With UBL UK, you can choose from various banking products, such as current accounts, buy-to-let mortgages, and savings accounts. UBL offers two current accounts: the ACE Current Account and the Ameen Islamic Current Account.

• ACE Current Account– As long as you maintain a credit balance, this is a free everyday bank account. Although the account doesn’t offer a scheduled overdraft, you will be charged interest at 28.07 per cent EAR if your account experiences an unauthorized overdraft.
• Ameen Islamic Account– A current account run in conformity with Shariah guidelines. This means there is no overdraft facility, and no interest is paid or charged on the account.

With a UBL savings account, you can take advantage of a competitive AER of 1.52 per cent without giving up access to your money. Remember that there are a few additional restrictions than with its rivals when opening the account and withdrawing money. For you to open an Easy Access Account with UBL, you must deposit at least £1,000, and withdrawals must be at least £500. A withdrawal of £500 won’t be approved if it reduces your balance below the required minimum of £1,000.

2.  Virgin Money M Plus Saver

Why we chose it: This easy-access account pays the best interest rate for savings at the moment (2.02 per cent), so it’s worth looking into.

Late in 2019, Virgin Money unveiled its new current account, modelled after Clydesdale Bank’s B account. High-interest rates and fee-free international spending are some of its appealing qualities.

There is no required minimum opening amount; you can deposit and withdraw money as often as you choose. Additionally, there is no upper limit to the amount you can save (although the Financial Services Compensation Scheme only covers the first £85,000).

The linked savings account, into which you can deposit additional funds, offers 1% interest on the first £25,000. Although changeable, this is unmatched elsewhere. This account allows you to create as many interest-earning savings pots as you choose.

3.  Chase Savings Account

Why we chose it: The variable interest rate offered by Chase is credited and compounded every month. And the flexibility of Chase checking and savings accounts to connect with Chase brokerage and investment accounts is a significant benefit.

With the Chase Saver Account, you may access your money whenever needed, earn a competitive 1.50 per cent (variable) interest rate, and make no minimum deposits. However, you must have a current Chase account to qualify. You don’t have to abandon your existing primary account completely, though.

With this savings account, you may start saving right away and save up to £250,000 in funds (albeit only the first £85,000 is covered by the Financial Services Compensation Scheme). The maximum daily withdrawal amount is £25,000.

Although its savings accounts are undoubtedly simple to use and manage, their rates are lower than other high APY-only online savings accounts currently being advertised.

4.  Yorkshire Building Society

Why we chose it: No monthly fee or minimum funds are needed to keep the account active. Cashback of up to 15% is available through retailer offers. With the Current Account Switch Service, account switching can be done without stress in 7 days. Daily withdrawals from ATMs of £300, arranged overdraft facility (subject to status).

The Instant Saver Plus Issue 11 account from Yorkshire Building Society provides unlimited deposits and withdrawals on funds up to £500,000, though only the first £85,000 is covered by the Financial Services Compensation Scheme.

With just £1, you may start the account and earn interest rates as high as 1.38 per cent AER (variable). This higher charge, meanwhile, only applies to balances over £50,000.

AER (variable) for accounts under £10,000 is 1.10 percent, while for balances between £10,000 and £50,000, it is 1.33 percent (variable).

You’re likely to discover a better interest rate with a different provider if you intend to retain less than £10,000 in the account.

5.  Cynergy Savings Account

Why we chose it: By introducing a new easy-access deal yielding 1.1 per cent, Cynergy Bank is on the way to the top spot.

The first year of the Cynergy account has a 0.8 percentage point bonus, which means the rate will decrease to 0.3 per cent.

Cynergy Bank’s Online Easy Access Account has a competitive AER of 1.32 per cent (variable). The bonus rate, which is decreased after the first 12 months, is 1.02 per cent AER, nevertheless. The AER drops to 0.30 per cent when a year has passed (variable).

Although only the first £85,000 of the balance is covered by the Financial Services Compensation Scheme, the account has a maximum balance of £1 million. It allows for unlimited free deposits and withdrawals.

You must commit to the account for an entire year to receive your interest because it is calculated daily but only paid once a year.

6.  HTB Savings Account

Why we chose it: You can save money easily and affordably with the help of personal savings accounts from HTB.

The Hampshire Trust Bank offers a 1.41 per cent interest rate on its one-year fixed-rate cash ISA and a 1.48 per cent interest rate on its two-year. You can create its cash Isas with £1, accept transfers, and open all of its accounts online.

Individual Savings Account (ISA’s) primary advantage over conventional savings accounts is that it gives tax-free interest payments, allowing you to gain more excellent value for your money. The amount of money you can invest in an ISA each tax year is referred to as the “ISA allowance.”

7.  Paragon Savings Account

Why we chose it: You can get a £25 cash bonus for deposits of £10,000 or more when you open a free Raisin U.K. Monthly interest payment, and you may deposit up to £85k.

Paragon has an interest of 1.25 % AER / Gross. Your interest gets calculated daily on the full closing balance in the account.

You must submit an online application through Raisin to open this savings account. You must have at least £20,000 to open and maintain this account.

You can make unlimited withdraws. However, you cannot withdraw less than £500 in a single withdrawal transaction, and a withdrawal will not be authorized if it reduces your balance below £20,000.

8.  Nationwide Savings Account

Why we chose it: An account that offers an APY of up to 0.30 percent is hard to match. With interest compounded daily and no minimum balance requirements or maintenance fees, you may watch your savings grow even more quickly.

There is no monthly service cost for Nationwide Savings Account. Keep in mind that you must maintain a minimum balance of $1,000.

There are six different tiers of savings rates, ranging from $0 to $100,000. Since the rate is the same for all six tiers, we won’t list them all to save you time. Future events could alter this.

Note that the Axos Bank website does not provide the My Savings program. Axos Bank only offers the 0.61 percent annual percentage yield savings account. The Nationwide/Axos Bank-branded website is the only place to access My Savings.

9.  Leeds Building Society

Why we chose it: At the time of writing, our top recommendation for the best-fixed ISA rates is the Leeds Building Society’s new limited issue 30-month fixed ISA, which has a fixed rate of 2.75 percent AER.

A minimum balance of £1,000 is required to open the account, which can be opened by mail, in person at a building society branch, or online. If you open a savings account, you have till July 31 to make a deposit.

10.              Brown Shipley Savings Account

Why we chose it: There is no restriction on how many withdrawals you can make; however, you must open the account with a minimum deposit of £1,000.

Raisin, a savings platform, offers a £50 welcome bonus to every new user who deposits £10,000 or more into the Brown Shipley savings account. Raisin also provides a 0.61 percent-paying easy-access deal through Brown Shipley. This deal is accessible through Raisin.

Conclusion

When selecting a savings account, it is essential to determine whether the interest rate is variable or fixed for a specific time. A few savings accounts offer a bonus rate for the first 12 months before reducing the rate. Providers rely on the fact that customers are preoccupied and won’t open a new account once the bonus period has passed. Although these accounts are appealing, you must be proactive and remember to examine your account before the bonus period ends.