Top bank accounts that pay savings interest

Baskerfield

First a disclaimer. I am new to the forums, secondly I really only wanted to pose a question to the MSE team, but don't know how to send a message directly.


The question is, why is the Santander 123 current account not shown as a "top bank accounts that pay savings interest", since the 1.5% interest on the account applies can apply to up to £20K as opposed to the relatively small amounts that attract a higher interest rate with other providers?

freeasabird

Hello Baskerfield. The 123 current account has a £5 a month fee i.e. £60 a year which should be taken into consideration when looking at the amount of interest you will make from the account. You do get cashback for bills and if yours are high it may still be worth if if the cashback wipes out or exceeds the amount you will pay for the bank fee.

I believe the argument put forward in the past is that there are savings accounts paying 1.5% interest without charging you a fee so why bother with the Santander account. It's up to you to look at how much interest you will actually earn.

Freeasabird

ColdIron

The Santander 123 is no longer a top bank account, simple as that