[Easy Access]£150 per month into 6.17% or 300-400 per month into 5.2%

Jami74

UndergroundSaxClub said:

Thanks all. If I were to go down the route of RBS and Santander the overall saving would be split between them. With RBS at 150 and Santander at around 150-250 per month. RBS would be the sure thing as I think the interest is paid annually so the money would stay there. Whereas Santander would be monthly interest should I need to pull the amount out for any reason I have gotten some interest in the meantime. Off the top of my head I think the annual interest would be £20-30 higher than just Santander alone, or am I way off?

Yeah do this. £150 into RBS and whatever left into Santander. RBS pay the interest directly into the savings account every month.

PRAISETHESUN

As highlighted above, the topic of interest due on a regular saver account is a common misconception. The posts above do a good job of discussing his, so I won't repeat them here. But the main idea is to maximise interest by depositing the maximum amount into the highest interest account, then paying the remainder into the second highest, and so on. Following on from the Op's original plan, this would be £150 into the NatWest/RBS saver followed by the remaining £250 into into the Santander account.

There are of course better options if the OP wishes to maximise it further. There are other RS accounts that would probably also be suitable if they don't mind opening multiple accounts. A thread discussing the best RS accounts currently available can be found here: https://forums.moneysavingexpert.com/discussion/6106986/regular-savings-accounts-the-best-currently-available-list/p1