Santander Easy Access Limited Edition

Ed-1

JonSalji said:

Just a quick question about the interest, it says that the rate is 5.08% if interest is paid monthly (vs 5.2% if paid annually). Is this on the assumption that the interest is paid away?

So, if I choose to have interest paid monthly, but leave it in the account to compound - it will be 5.2%? 

Yes it's a gross rate of 5.08% but AER of 5.2%.

JonSalji

Ed-1 said:

JonSalji said:

Just a quick question about the interest, it says that the rate is 5.08% if interest is paid monthly (vs 5.2% if paid annually). Is this on the assumption that the interest is paid away?

So, if I choose to have interest paid monthly, but leave it in the account to compound - it will be 5.2%? 

Yes it's a gross rate of 5.08% but AER of 5.2%.

Thanks for this. I will choose to have monthly interest paid but just keep it in the account. I like to see a sum of money (albeit small) being deposited every month to keep me motivated with saving, sometimes annual paid interest is too long a wait 😅

Middle_of_the_Road

Ed-1 said:

JonSalji said:

Just a quick question about the interest, it says that the rate is 5.08% if interest is paid monthly (vs 5.2% if paid annually). Is this on the assumption that the interest is paid away?

So, if I choose to have interest paid monthly, but leave it in the account to compound - it will be 5.2%? 

Yes it's a gross rate of 5.08% but AER of 5.2%.

That makes sense, although the previous discussion on here left me totally confused. It was thought that Santender made a mistake on the figures they quoted.

ColdIron

JonSalji said:

Just a quick question about the interest, it says that the rate is 5.08% if interest is paid monthly (vs 5.2% if paid annually). Is this on the assumption that the interest is paid away?

So, if I choose to have interest paid monthly, but leave it in the account to compound - it will be 5.2%? 

Yes

Many, including myself, think that Santander's figures are not clear

But given that you cannot pay away the interest with this account it will compound at 5.08% gross giving 5.20% AER (unless you withdraw it yourself)

nedwilsher

I quite like this account. Apart from the best Easy Access 5.2% AER interest rate, Santander is a proper bank and Faster Payments can be made instantly to any other proper bank account. No waiting around for money to go from one account to another as is the case with so many other banks and building societies.

Also, as the instigator of this thread, thank you to everyone who has contributed, especialy about the Santander incorrect statement of interest rate that should read 5.08% gross monthly / 5.20% AER.

But keep your eyes peeled. Someone will beat it soon - I am sure.

badger09

notbritishgas said:

Just opened the new easy access saver via my online account. Up and running within minutes.
However wanted it to be joint account but was not given the option when applying.
Any body else in this situation.
Tried ringing them waited 15 minutes and when got to the important bit the call cleared down.

I applied in app this morning for a joint account, just had to add all husband’s details even though we already have a little used joint current account with them. Up & running this afternoon. Funds on their way from Coventry 4 access. 

AlwaysLearnin

Not sure if it was an isolated issue with us, but just in case anyone else is impacted our joint acct was initially blocked from making payments out.  The helpline said this was just a temporary block that should clear overnight/after 24 hours once the acct was 'fully set up'.  Sure enough, can now make transfers. 

Might be worth a test transfer out before sending large amounts in, just in case...

refluxer

KITTYKAT8_2 said:

Please excuse the silly question,I selected to have the interest paid monthly, on looking at the account it says 5.08% interest, no where on the paper work I have it says it is being paid monthly, can I asumme it will be monthly.

thank you

5.08% is the gross monthly rate so yes - your interest will be paid monthly. If you'd selected the annual interest option, it would say 5.20%.

Swipe

JonSalji said:

So, if I choose to have interest paid monthly, but leave it in the account to compound - it will be 5.2%? 

Yes, it will be.

CaveBird

notbritishgas said:

Just opened the new easy access saver via my online account. Up and running within minutes.
However wanted it to be joint account but was not given the option when applying.
Any body else in this situation.
Tried ringing them waited 15 minutes and when got to the important bit the call cleared down.

I made this error with a previous Santander account. Unfortunately the only way to get it remedied is to fill in a paper form and take it into a branch along with forms of ID for both parties. If you ask the chatbot how to add a joint account holder it will direct you to the correct form. It’s a multi use form so just fill in the relevant parts.