HSBC Regular Saver - 8% AER - any better out there?

sarah_elton

I don't have much in savings right now (a filled cash ISA for this tax year and that's it), but can save about £1500 per month for the next six months, then about £1000 per month after that.

I'm with HSBC for current account etc, and was just looking at their regular saver. Max. monthly savings amount is £250, but it's paying 8% AER fixed for one year. The money is locked up for the year. You can close the account earlier but obviously on a substantially lower interest rate.

http://www.hsbc.co.uk/1/2/personal/savings/regular-saver;jsessionid=0000sdRAw-6VK6aM0gzCJ7Pudcb:11j50e74c

OH and I are likely to be buying a house next Spring-Summer so 12 months is about my maximum lock-up.

A regular saver suits me as I don't have a lump sum to put in now, but does anyone know of any better deals? I've had a look on moneysupermarket and can't see anything. In fact, I'm starting to wonder if the HSBC interest rate is a typo as nothing else seems to come close.

Assuming it's right though, was thinking of putting the maximum £250 per month in that, and then shopping around for what to do with the rest.

First time in my life I've been 100% debt free and saving - it's a whole new world.

Baldur

I don't think that you'll find any other regular savings accounts at 8%, although there is a regular savings ISA at 7% - See http://www.moneysavingexpert.com/savings/best-regular-savings-accounts

apt

It does not apply to the OP who is already with HSBC, but a further £90 is available for new customers. £50 cashback from Topcashback for opening the Advance account which is needed to get the 8% regular saver. A further £40 cashback from HSBC. To get the latter your must apply by 31 March and transfer direct debits/standing orders from another account. Does not require you to transfer salary. You just have to pay in £500 per month, £250 of which should go straight into the regular saver.

SavingSteve

OP - do you have one of the following;

Regular Saver is available to Current Account Advance, HSBC Premier, HSBC Plus or Passport customers

It's not open to plain vanilla Current Account holders I'm afraid.

littlemrtinkle

barclays Earn a fixed interest rate of 6.00% AER (5.84% gross pa*) in months when no withdrawals are made. Make monthly deposits from £20 to £250.

Super Fixed Rate Monthly Saver (Issue 7)


abbey Get a super fixed rate of 6.00% gross/AER on your savings

Give your savings a super boost with this regular monthly savings account. You’ll get a fantastic fixed rate of 6.00% gross/AER for 12 months on your savings when you also open a regular investment, pension or protection plan. up to £250 a month

hope this helps.

Baldur

littlemrtinkle wrote: »

....when you also open a regular investment, pension or protection plan.

So one of Abbey's other (usually pretty poor) products has to be opened in order to qualify for the rate - not for me, thanks.

ricll

I opened a 8% regular saver with HSBC last month. It's not bad if you look at what is being offered elsewhere, but as the maximum deposit per month is £250, and the term of 12 months, it will not make much difference in anybody's savings.

Btw, does someone know how much money one will have after 12 months making £250 deposits per month at 8%? I remember seeing this in another topic but can't find. Thanks.

rb10

ricll wrote: »

Btw, does someone know how much money one will have after 12 months making £250 deposits per month at 8%? I remember seeing this in another topic but can't find. Thanks.

You'll get around £130 in interest.

The rough rule for calculating interest on Regular Savers is [monthly deposit] * [interest rate] * 6.5. So in this case, it's 250 * 0.08 * 6.5 = 130.

obsessed_saver

It's a strange concept, but I'm actually avoiding regular savers and accounts that require a certain monthly deposit to avoid paying a "fine" because I'm afraid I'll lose my job in the next 12 months. :P

MsHoarder

obsessed_saver wrote: »

It's a strange concept, but I'm actually avoiding regular savers and accounts that require a certain monthly deposit to avoid paying a "fine" because I'm afraid I'll lose my job in the next 12 months. :P

I worried about that, but then I checked the penalties for early withdrawal, and there were some that would put me barely worse off than if I'd just kept the lot in an instant access account! So I'm taking the best of both worlds.

littlemrtinkle

i believe with barclays that you withdraw money and only lose interest for that month, but plase confirm with them