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This week’s best savings rates

This week’s best savings rates
Matt Browning
Written By:
Matt Browning
Posted:
03/11/2023
Updated:
03/11/2023

Paragon Bank and the Union Bank of India remain the top providers for savers this week across easy access and fixed rate bond accounts.

Both banks are top of the tree according to Moneyfacts’ data, boasting rates of 5.25% AER and 6.05% AER respectively.

While the top rates continue to be with the shorter-term fixed bonds, there are still appealing prices for savers looking longer term in this week’s best saving rates.

Easy access savings accounts

For the second successive week, Paragon Bank is offering the top rate for savers via its Double Access Savings Account – Issue 3 at 5.25% AER either monthly or on anniversary, with savers needing a minimum of £1,000 to open the account.

Up to £500,000 can be invested but if more than two withdrawals are made in a 12-month period, a lower rate of 1.50% will be applied.

Beehive Money is the next best on offer for another week, paying 5.20% AER on its Limited Issue Easy Access account.

This price is paid annually when the 2.55% bonus is factored in, which is included up until 31 October 2024. It requires a minimum deposit of £1,000 and further additions and withdrawals are allowed through a nominated account.

Sharing the silver medal is Ulster Bank, with 5.20% AER at £5,000 and no minimum deposit required. However, savers should note that a lower rate of 2.25% is paid for balances between £1 and £5,000.

In third place is the 5.15% AER in Close Brothers Savings’ Easy Access Account (Issue 1). This rate is paid on anniversary but a minimum deposit of £10,000 is required to open the account, which can only be opened and managed online.

Through its Online Easy Access Account (Issue 68), Cynergy Bank offers the same rate as Close Brother Savings. However, it can be opened with just £1 in the account and withdrawals are permitted by a nominated account, while further additions are accepted with no restrictions.

Fixed rate bonds

Union Bank of India (UK) Ltd may have dropped its rates from 6.11% AER last week, to 6.05% AER this time around, but its Fixed Rate Deposit is still the top price available to savers.

The two-year Fixed Rate Deposit offers a lower rate of 6.00% AER on anniversary and on maturity. Both fixes need £1,000 to be opened. Neither earlier access or additional funds are accepted, meaning this account is one for careful financial planners.

It also offers the top rates on its one and two-year Union Premier Bonds which require a deposit of £5,000 and can only be opened and managed online.

For three and five-year fixes, savers should consider JN Bank, which is offering market-leading rates of 5.97% AER and 5.80% AER respectively. These accounts need a minimum of £1,000 deposit to get going, while a further 11 additional payments of at least £100 can be made within the first 14 days

Notice accounts

Much like the easy access and fixed bond rates, there was little change in the top prices for savers’ investments.

In fact, the best rates remained the same, as FirstSave led the pack for the second week running thanks to the 5.00% AER deal on its FirstSave 30 Day Notice Account (Oct 23).

For a minimum deposit of £100, investments will receive interest on anniversary but with a larger £5,000 deposit, interest can be received monthly.

As the name suggests, a period of 30 days is required before making a withdrawal, but earlier access can be made, subject to a penalty of 30-days’ loss of interest.

Remaining in second place is Dudley Building Society’s 60 Day Notice account, with a rate of 5.40% AER yearly. To open the account, £1,000 needs to be invested and earlier access is granted. However, this is subject to a 60-day loss of interest penalty.

Oxbury Bank completes the podium, offering 5.51% ART on its Personal 90 Day Notice Account (Issue 10) which requires a £1,000 deposit to open.

Savers will need to download the Oxbury App to access online banking and this requires 90-days’ notice before making a withdrawal. There can be no early access with this longer notice account.