Regular Savings Accounts: The Best Currently Available List!

Sensory

Terms can be clear and explicit, but it doesn’t mean they’re always accurate in practice. For example, we’re not supposed to be able to open a Lloyds Monthly Saver more than once every 12 months, but many of us have closed existing accounts and immediately opened new ones to benefit from the increased rates (e.g. 5.25%). Sometimes there’s a term stipulating payments must reach the account by the 25th of the month otherwise it won’t count as that month’s payment, but we know that’s not how it works in practice either.

If it works in our favour, we don’t complain; if it doesn’t, we can complain citing the terms and conditions.

Regarding the Monmouthshire BS Christmas Saver Bond, whilst it’s clear the term starts from the date of account opening, what’s not explicitly clear from those account-specific terms is when an account is considered opened. Is it the date of application processing, or the date of first deposit? If we check their general savings T&Cs:

To open an account with the Society, you will need to provide:

• a completed application form if applying by post/online or if in a Branch, a signed application form produced by the staff member.

• at least the minimum investment amount for the type of account; and

• proof of your identity and your address.

This implies an account cannot be considered opened until the first deposit (meeting the minimum investment amount) is made.

silvercar

I’m new to this regular savings game, attracted by the interest rates. This maybe a stupid question, but if there are 2 savings accounts with MBS one paying 5.5% and one paying 3.75%, is the latter one only aimed at people who are maxing out after opening the higher paying one? Why would anyone want the 3.75% interest if they can open the 5.5%?

Section62

silvercar said:

I’m new to this regular savings game, attracted by the interest rates. This maybe a stupid question, but if there are 2 savings accounts with MBS one paying 5.5% and one paying 3.75%, is the latter one only aimed at people who are maxing out after opening the higher paying one? Why would anyone want the 3.75% interest if they can open the 5.5%?

Yes, 3.75% is better than many of the alternatives on offer, so is worth considering.  The question is if the 5.5% account didn't exist, would you open the 3.75% one?

Band7

silvercar said:

I’m new to this regular savings game, attracted by the interest rates. This maybe a stupid question, but if there are 2 savings accounts with MBS one paying 5.5% and one paying 3.75%, is the latter one only aimed at people who are maxing out after opening the higher paying one? Why would anyone want the 3.75% interest if they can open the 5.5%?

The 3.75% account may be of interest to people who have enough money to have maxed the 5.5% one, and all the other regular savers which pay more than 3.75%. 

adindas

I remember Monmouthshire BS used to allow payment by DD. I still have one active but if my memory serves well they do not allow you to switch it

Is it still the case with  this two new RSAs with a new set up link account ??

silvercar

Section62 said:

silvercar said:

I’m new to this regular savings game, attracted by the interest rates. This maybe a stupid question, but if there are 2 savings accounts with MBS one paying 5.5% and one paying 3.75%, is the latter one only aimed at people who are maxing out after opening the higher paying one? Why would anyone want the 3.75% interest if they can open the 5.5%?

Yes, 3.75% is better than many of the alternatives on offer, so is worth considering.  The question is if the 5.5% account didn't exist, would you open the 3.75% one?

Band7 said:

silvercar said:

I’m new to this regular savings game, attracted by the interest rates. This maybe a stupid question, but if there are 2 savings accounts with MBS one paying 5.5% and one paying 3.75%, is the latter one only aimed at people who are maxing out after opening the higher paying one? Why would anyone want the 3.75% interest if they can open the 5.5%?

The 3.75% account may be of interest to people who have enough money to have maxed the 5.5% one, and all the other regular savers which pay more than 3.75%. 

Thanks, just wanted to check if I was missing something.

My bench mark for going down this route is currently 5%, so I wouldn't open the lower paying one. This is only my third one, I've recently opened NatWest and RBS regular savers.

t1redmonkey

silvercar said:

Section62 said:

silvercar said:

I’m new to this regular savings game, attracted by the interest rates. This maybe a stupid question, but if there are 2 savings accounts with MBS one paying 5.5% and one paying 3.75%, is the latter one only aimed at people who are maxing out after opening the higher paying one? Why would anyone want the 3.75% interest if they can open the 5.5%?

Yes, 3.75% is better than many of the alternatives on offer, so is worth considering.  The question is if the 5.5% account didn't exist, would you open the 3.75% one?

Band7 said:

silvercar said:

I’m new to this regular savings game, attracted by the interest rates. This maybe a stupid question, but if there are 2 savings accounts with MBS one paying 5.5% and one paying 3.75%, is the latter one only aimed at people who are maxing out after opening the higher paying one? Why would anyone want the 3.75% interest if they can open the 5.5%?

The 3.75% account may be of interest to people who have enough money to have maxed the 5.5% one, and all the other regular savers which pay more than 3.75%. 

Thanks, just wanted to check if I was missing something.

My bench mark for going down this route is currently 5%, so I wouldn't open the lower paying one. This is only my third one, I've recently opened NatWest and RBS regular savers.

Lloyds and Principality also have 5%+ regular savers if you want to look into those.

adindas

I already have a few BOS current AC. Does anyone know if there is a hard credit search to open a new BOS current account ? I want to take opportunity to open a second BOS Monthly saver but I do not want to risk a credit search for such small gain.

kaMelo

Halifax and Lloyds don't so, assuming they follow the same patterns, I would say no but that's not definite.

The problem may be your suggestion of 'another' monthly saver. You can only hold one no matter how many current accounts you have.

SPRichards

I opened a BOS current account in Oct and have not yet had a hard search added to my score, but have had an RBS and HSBC search added for accounts I opened the same day. Anecdotal, but seems there's no hard search.