fixed rate that pays interest monthly to current account

kev1744

hi all, looking for some advice. i have about 40k that i would like to put into a fixed account that will pay the interest monthly into my current account. im open to locking it away for up to 2 years.
any recommendations?

Pompeydave1967

Tandem has a good rate at the moment - 18 months 6.15%

kev1744

and can interest be paid monthly into current account? i had a quick look on site but wasnt that clear to me

Pompeydave1967

Yes straight into bank account.

BooJewels

FirstSave are currently offering a 2 year fix at 5.98% for monthly paid away interest.  There's a £5k minimum for monthly paid, but you're already wanting to deposit more than that.  That would give rise to a monthly average interest of just under £200.

Charter are currently 5.77% (was 5.94% last week) for 2 years with monthly interest and Ford Money have just increased their 2 year to 5.89% for monthly interest.  All three pay away to your nominated current account.

There are others of course, but you'll need to dig through their assorted T&Cs as it isn't always evident that they do monthly paid away - and I've found to my embarrassment here when being corrected, that comparison sites like Money facts Compare often get this sort of detail wrong.  Also look at Vanquis, Aldermore, Hodge, Recognise Bank that I can remember off-hand - and someone confirmed here yesterday that Shawbrook also do monthly paid away.  I haven't looked at the rates of these last few recently - I went with Firstsave and Charter.

Zaul22

Atom does too.

fabsaver

https://moneyfactscompare.co.uk/savings-accounts/monthly-interest-accounts/?quick-links-first=false

georged123

I second Atom, very efficient.

ZeroSum

Atom, vanquis, hodge all do

Scot_39

Pompeydave1967 said:

Tandem has a good rate at the moment - 18 months 6.15%

The Tandem account only pays annually - not monthly.

The monthly rate will always be a little lower - as needs the interest on the interest compounding in the account to match the annual rate / AER

Scot_39

Looking at the top 5 1 yr on Savings Champion (I have it bookmarked so easy)

Only 2 in their 1 yr table pay monthly - Atom and Kent Reliance - but there will be many more - just slightly below those rates.

Atom is a mobile banking app - Kent Reliance a former mutual - part of OSB Group now - more conventional on-line for most of us - unless live near one of their few branches to operate a branch account.

Neither Atom or Kent Reliance make it into the top 5 on 2 yr tables - none of the top 5 pay out monthly  - but they both do 1yr and 2 yrs - the 2 at KR 5.89 gross/6.05 aer compounded.

There are lots of other savings comparison sites - that tabulate details - including MSE.