You are here: Home - Saving-Banking - News -

This week’s best savings deals include a one-year bond paying 4.33%

Written by:
If one of your New Year’s resolutions was to save more, then these are the accounts you should look at, whether you require easy access or can afford to tie up your cash for as long as five years.

During the last few months of 2022, interest rates were on the rise meaning that savers were getting some of the best deals they’d seen in years.

However, as 2023 dawns, if you are starting a new savings regime or you’re looking to shift your existing pot, then it may be worth moving fast as experts have warned that rates may start to fall in the near future.

Here is where to look for the best savings rates on offer, according to Moneyfacts.

Easy access savings

Easy or instant access savings accounts mean you can usually withdraw your money whenever you want and without notice.

The Santander Edge Saver is top of the easy access chart, as it was for much of the latter part of 2022. The account pays 4% AER on balances of up to £4,000, but anything above this threshold won’t earn interest.

The account’s rate is compounded, paid monthly and includes a bonus of 0.48% for 12 months. This product is exclusively available to new and existing Santander Edge current account customers.

The second and third placed easy access accounts are the Yorkshire Building Society Rainy Day Account Issue 2 and the HSBC Online Bonus Saver, which both offer rates of 3% AER. The former only pays this rate on balances up to £5,000, dropping to 2.5% AER on any balance above that level. The latter also changes its rate according to your balance, with 3% on offer up to £10,000. Anything above this will earn only 1.40% AER.

Fixed rate bonds

One-year bonds

The HBZ Sirat eDeposit is a one-year fixed rate saver offering an expected profit rate (as opposed to an interest rate as this is an Islamic finance account) of 4.33% AER. This is compounded, paid on maturity and requires a minimum investment of £5,000.

Two-year bonds

The top two-year bond comes from Zenith Bank (UK) and offers a rate of 4.53%. The account can only be opened online but can be managed through the post. Minimum investments start at £1,000, with interest paid away on anniversary. However, further additions are not allowed after the £1,000 initial investment.

Three-year bonds

For three-year bonds, three providers offer a rate of 4.55% AER. These bonds are from Investec Bank, Gatehouse Bank (expected profit rate) and State Bank of India.

Five-year bonds

When it comes to five-year bonds, State Bank of India is offering a rate of 4.75% AER via its Green Fixed Deposit. You will need a minimum £10,000 to open the account.

30-day notice accounts

Aldermore and Chorley Building Society provide the best rate for accounts requiring a notice period of 30 days or less. Both offer rates of 2.8%.

Aldermore’s 30 Day Notice Account Issue 12 is an online-only account which pays away or compounds interest monthly or on anniversary. It requires a minimum deposit of £1,000.

Chorley Building Society, however, has a lower minimum deposit of just £1 with interest compounded and paid yearly. It can be opened online, in branch or via the post but managed in branch or via the post.

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Your right to a refund if travel is affected by train strikes

There have been a wave of train strikes in the past six months, and for anyone travelling today Friday 3 Febru...

Could you save money with a social broadband tariff?

Two-thirds of low-income households are unaware they could be saving on broadband, according to Uswitch.

How to help others and donate to food banks this winter

This winter is expected to be the most challenging yet for the food bank network as soaring costs push more pe...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

DIY investors: 10 common mistakes to avoid

For those without the help and experience of an adviser, here are 10 common DIY investor mistakes to avoid.

Mortgage down-valuations: Tips to avoid pulling out of a house sale

Down-valuations are on the rise. So, what does it mean for home buyers, and what can you do?

Five tips for surviving a bear market mauling

The S&P 500 has slipped into bear market territory and for UK investors, the FTSE 250 is also on the edge. Her...

Money Tips of the Week