Regular Savings Accounts: The Best Currently Available List!

Wheres_My_Cashback

PloughmansLunch said:

Wheres_My_Cashback said:

Don't think it's been reported here that Leeds BS are increasing rates on the following on 1st June

Regular Savers Issues 23 to 40  4.25% ↑ 4.50%  £100 - £6K

Home Deposit Saver 4.00% ↑ 4.40%

I'm afraid you've got to be up pretty early to beat ForumUser7

Very true, one that slipped the net for me.

SFindlay

OceanSound said:

SFindlay said:

OceanSound said:

SFindlay said:

OceanSound said:

Wheres_My_Cashback said:

Kazza242 said:

Hinckley & Rugby BS will be increasing the interest rate paid on their 30 Day Notice Regular Saver, from 4.25% to 4.50% w.e.f 9th June 2023.

See https://www.hrbs.co.uk/wp-content/uploads/2023/05/Interest-rates-notice-9-June-23-Future-notice-web.pdf

So they reduced from 4.50% to 4,25% on 5th May and probably had a number of account closures and now back to 4.50% on 9th June. The mind boggles !

To: Everyone (not the forumite I'm replying to per se, as he/she/they may be aware of what I'm going to say):

Something to look out for when choosing a regular saver I think. 

With this H & R RS, they are free to change the interest rate. Whereas there are other regular savers such as the Lloyds and Club Lloyds which offer fixed interest rate. I looked through the screenshots of when I opened that RS and one of features they advertise is the fixed element - it says on the product description 'fixed interest gives peace of mind'.

Of course, the downside is that irrespective of the BoE increasing the interest rate the fixed interest rate of the Lloyds RS's will definitely remain the same, whereas, I'm guessing that with H & R RS's there is a chance that it may increase? (or going by their history, perhaps not?)

Not  completely true, many "Fixed" rates have increased by institutions either by increasing existing customers accounts like First Direct did just last year or by allowing customers to close existing regular savers and open a new one at higher paying rate like Santander did last year and again this month. 

My point is that the 'fixed' even if they increase rates or allow customer to close and open a new one at higher paying rate (as you say) would offer peace of mind against decreases. 

Agreed, however you forget many of those "fixed" accounts that are no longer competitive and have penalties for early closure. For example I still have a Cambridge Reward Regular Saver that is fixed at 3% which was highly competitive when opened however not even close now, it has penalties for early closure so not worth doing though thankfully doesn't require a monthly payment so not been topped up for many months there are however many that require monthly payments so you could really be screwed on an uncompetitive fixed rate requiring monthly deposits. 

The truth is every account needs to be carefully considered by individuals, don't be fooled by the advertising hype and make sure the account is suitable for you before opening it. What's right for one person might not be right for the next. 

I opened the club Lloyd's Monthly saver in October 2022 with a fixed rate at 5.25%. I read all the terms and conditions (including the part about rate being fixed). It is still competitive. I don't believe I was fooled by any advertising hype.

The Club Lloyds RS pays 6.25%, cant remember old rate or are you talking about the standard Lloyds RS? If it is the Club version it has been discussed numerous times how savers on old rate can upgrade so you might want to revisit it and see if newer rate is more suitable for you if still only getting 5.25%.

My point was never to say it's wrong to take a fixed rate, the point is don't get fooled into thinking fixed rate is always better than a variable rate, you have to consider all the T&C as a package.

Bridlington1

SFindlay said:

OceanSound said:

SFindlay said:

OceanSound said:

SFindlay said:

OceanSound said:

Wheres_My_Cashback said:

Kazza242 said:

Hinckley & Rugby BS will be increasing the interest rate paid on their 30 Day Notice Regular Saver, from 4.25% to 4.50% w.e.f 9th June 2023.

See https://www.hrbs.co.uk/wp-content/uploads/2023/05/Interest-rates-notice-9-June-23-Future-notice-web.pdf

So they reduced from 4.50% to 4,25% on 5th May and probably had a number of account closures and now back to 4.50% on 9th June. The mind boggles !

To: Everyone (not the forumite I'm replying to per se, as he/she/they may be aware of what I'm going to say):

Something to look out for when choosing a regular saver I think. 

With this H & R RS, they are free to change the interest rate. Whereas there are other regular savers such as the Lloyds and Club Lloyds which offer fixed interest rate. I looked through the screenshots of when I opened that RS and one of features they advertise is the fixed element - it says on the product description 'fixed interest gives peace of mind'.

Of course, the downside is that irrespective of the BoE increasing the interest rate the fixed interest rate of the Lloyds RS's will definitely remain the same, whereas, I'm guessing that with H & R RS's there is a chance that it may increase? (or going by their history, perhaps not?)

Not  completely true, many "Fixed" rates have increased by institutions either by increasing existing customers accounts like First Direct did just last year or by allowing customers to close existing regular savers and open a new one at higher paying rate like Santander did last year and again this month. 

My point is that the 'fixed' even if they increase rates or allow customer to close and open a new one at higher paying rate (as you say) would offer peace of mind against decreases. 

Agreed, however you forget many of those "fixed" accounts that are no longer competitive and have penalties for early closure. For example I still have a Cambridge Reward Regular Saver that is fixed at 3% which was highly competitive when opened however not even close now, it has penalties for early closure so not worth doing though thankfully doesn't require a monthly payment so not been topped up for many months there are however many that require monthly payments so you could really be screwed on an uncompetitive fixed rate requiring monthly deposits. 

The truth is every account needs to be carefully considered by individuals, don't be fooled by the advertising hype and make sure the account is suitable for you before opening it. What's right for one person might not be right for the next. 

I opened the club Lloyd's Monthly saver in October 2022 with a fixed rate at 5.25%. I read all the terms and conditions (including the part about rate being fixed). It is still competitive. I don't believe I was fooled by any advertising hype.

The Club Lloyds RS pays 6.25%, cant remember old rate or are you talking about the standard Lloyds RS? If it is the Club version it has been discussed numerous times how savers on old rate can upgrade so you might want to revisit it and see if newer rate is more suitable for you if still only getting 5.25%.

My point was never to say it's wrong to take a fixed rate, the point is don't get fooled into thinking fixed rate is always better than a variable rate, you have to consider all the T&C as a package.

LBG upped the rate on their regular savers in March. From the discussion that followed on this thread and another I seem to recall the general consensus was that it wasn't worth renewing the rate of the CL monthly saver if you had held the account for many months.

At this stage since the account is in its 8th month I would say it would probably make sense to stick at the 5.25% rate for the sake of interest maximisation.

castle96

"At this stage since the account is in its 8th month I would say it would probably make sense to stick at the 5.25% rate for the sake of interest maximisation."

Why??? surely 1% more for 4 months would give a greater gain.
Will they let you just swop an existing a/c to the higher rate or must you close and reopen?

Bridlington1

castle96 said:

"At this stage since the account is in its 8th month I would say it would probably make sense to stick at the 5.25% rate for the sake of interest maximisation."

Why??? surely 1% more for 4 months would give a greater gain.
Will they let you just swop an existing a/c to the higher rate or must you close and reopen?

You must close and reopen to get the higher rate so you would start the regular saver at £400 (max monthly deposit again). 

castle96

So............Why??? surely 1% more for 4 months would give a greater gain.

castle96

and I could do another 12 mths at a 1% higher rate

castle96

ah "

• It's only available to Club Lloyds current account holders who have not already opened one of these accounts in the last 12 months."

so I couldn't open another/new, anyway ?

Section62

castle96 said:

ah "

• It's only available to Club Lloyds current account holders who have not already opened one of these accounts in the last 12 months."

so I couldn't open another/new, anyway ?

^One of those questions where it is probably better not to ask, but to experiment instead.

flaneurs_lobster

castle96 said:

So............Why??? surely 1% more for 4 months would give a greater gain.

Yes and no, you have to consider the (up to) £3200 that is in the old account already, earning 4.25 APR. If you close the account then these funds must be withdrawn and there is no equivalent account to re-deposit them. 

But you now have an account paying 5.25% for 12 months rather than one paying 4.25% for another 4 months.