Switching to First Direct

Adamc

When is the interest paid and are there penalties for withdrawing, missing a month etc?

I'm wondering if there are any major drawbacks? 

dealyboy

Adamc said:

When is the interest paid and are there penalties for withdrawing, missing a month etc?

I'm wondering if there are any major drawbacks? 

Hello again @Adamc ...

From the Regular Saver Account page ...

"Interest example: if you save £300 every month for 12 months and qualify for the 7.00% AER/Gross p.a. interest rate, you'll earn approximately £136.50 interest (gross). Interest is calculated daily and paid 12 months after you opened the account.

AER stands for Annual Equivalent Rate. This shows you what the rate would be if interest were paid and compounded each year. Gross is the rate of interest if interest were paid and not compounded each year.

If you close your account before the end of the 12 month period, we'll only pay you interest at our standard Savings Account variable rate. You won’t be able to make partial withdrawals."

... the standard Savings Account paid 1.2% last time I looked.