Interactive Investor

Savings update: Ford Money ups the rate of its easy access account

19th December 2018 14:16

Sylvia Morris from interactive investor

Loading

Share on

Average rates are rising across the board for first time in seven years.

Ford Money has upped the rate on its easy-access online account, Flexible Saver, to 1.42%. The bank says that when it changes its rates, the new rate applies to both new and existing savers.

RCI Bank also pays its new, higher 1.42% rate to all savers holding its easy-access Freedom savings account.

  • 6 sneaky tricks to beat low savings rates

Most banks offer their new rate only to savers opening an account following the announcement, while loyal savers remain on the old rate.

The top rate of 1.5% on easy-access accounts comes from Virgin Money’s Double Take E-Saver, Goldman Sachs’ Marcus online saver account and West Bromwich Building Society’s Double Access postal and phone account.

However, both the Virgin and West Bromwich accounts limit you to two withdrawals a year, while the Marcus rate includes a 0.15 percentage point bonus for the first year that you hold the account.

On fixed-rate bonds, the top one-year rate is 2.05% from Atom, Masthaven, Tandem and Investec banks, while Market Harborough Building Society follows closely behind with 2.02% and Charter Savings Bank at 2.01%. Metro Bank pays 2.25% to those savers who are willing to tie up their money for 18 months.

  • Attractive bond rates may be just one of the reasons to consider a credit union

On fixed-rate tax-free cash Isas, Shawbrook Bank pays a top 1.66% for one year and Aldermore Bank 1.65%. For two years, they pay 1.86% and 1.85%, respectively.

On easy-access cash Isas, Paragon’s new account pays 1.35%, while Charter Savings Bank and Sainsbury’s Bank both offer 1.31%. Virgin Money pays a higher 1.45% on its Double Take E-Isa, but it limits you to two withdrawals a year.

This article was originally published in our sister magazine Moneywise, which ceased publication in August 2020.

These articles are provided for information purposes only. Occasionally, an opinion about whether to buy or sell a specific investment may be provided by third parties. The content is not intended to be a personal recommendation to buy or sell any financial instrument or product, or to adopt any investment strategy as it is not provided based on an assessment of your investing knowledge and experience, your financial situation or your investment objectives. The value of your investments, and the income derived from them, may go down as well as up. You may not get back all the money that you invest. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.

Full performance can be found on the company or index summary page on the interactive investor website. Simply click on the company's or index name highlighted in the article.

Get more news and expert articles direct to your inbox

Sign up for a free research account to get the latest news and discussion, and create your own virtual portfolio.

Free Sign Up