Regular saver , what's the point?

TheElectricCow

https://forums.moneysavingexpert.com/discussion/6659925/regular-saver-what-039-s-the-point

Ultimately, 7.5% interest on any amount of money is going to provide a better return than a lower rate on that same cash. Whether the hassle is worth it is entirely a matter of personal preference, but generally these accounts can be opened in under 30 minutes, and with a standing order to handle the funding there's very little input needed beyond that initial setup.

Anyone looking to maximise their interest on cash can do very well from regular savers and the higher rates these typically have can make all the difference, especially for those using their savings e.g. for stoozing or to beat interest rates charged on a mortgage.

While I don't feel looking at savings accounts in terms of the absolute value of interest earned is the best method of comparison, if that actual total interest is an important factor to you it's good to remember that not all RS accounts are equal. Take the Monmouthshire BS App Exclusive Regular Saver for example (was available mid 2025), this account pays 7% with a max deposit of £1000/month over a 1 year term with withdrawals allowed. Assuming maximum deposits your interest earned would be £450 for the year, so if that figure is what matters to you this may have been a rather attractive account to hold.

Add a 5% easy access account to drip feed from into the equation and that earns you a total of £727 interest on the initial £12,000, compared to £587 leaving it all in the EA. Whether the extra £140 for a little extra admin work is worth it to you will, of course, be a question of your personal preference and savings goals.

mta999

Yes my point (although perhaps not clearly phrased) was related to hassle

yes you can get 7.5% and you think 'oh it is worth a lot of hassle to get 7.5%' but actually what you should look at is the difference in the hassle to get 7.5% and to the no hassle of simply putting us into an ordinary account at say 4.5%

So for example if the Regular Saver only pays 5% you are putting up with a lot of hassle to get an extra 0.5 or 1%

If the Regular Saver does not allow withdrawals over the year then you should be comparing the rate with a one-year fixed account

subjecttocontract

Thats because this is a discussion forum where everyone shares their views. Life would be very boring if we all had to agree with you. The world is a better place because we are all different.

Im not really sure why some people can't seem to understand that others have a different opinion.

jaypers

https://forums.moneysavingexpert.com/discussion/comment/81927833#Comment_81927833

Re last comment…..absolutely no comparison. Non ISA fixed accounts mean that you are locking your money away with absolutely no access (bar very exceptional circumstances). Although some Regular Savers do not allow access, pretty much all of them allow closure, when you will get your money back plus any interest accrued without penalty.

wmb194

https://forums.moneysavingexpert.com/discussion/comment/81927833#Comment_81927833

It isn't usually a lot of hassle though.

kermchem

https://forums.moneysavingexpert.com/discussion/comment/81927833#Comment_81927833

Please can you direct me to this mythical ordinary savings account where I can secure 4.5% fixed with no hassle.

An account with a bonus for the first x months, where I need to move the money somewhere else after maturity does not count - it offers me the same "hassle" as my portfolio of regular savers.

fuzzzzy

https://forums.moneysavingexpert.com/discussion/comment/81927913#Comment_81927913

Not to you, but to some people it would be.

clairec666

https://forums.moneysavingexpert.com/discussion/comment/81928098#Comment_81928098

Exactly, we've all got different ideas of what "a lot of hassle is". E.g. if you're not confident with technology, or with numbers, or just have a really busy life, then spending a few minutes a month shifting money around might not feel like a good way to spend your time. For me it's worth it, but I don't expect everyone to feel the same way.

Amoux

To my knowledge, you’d be hard-pressed to find a better rate than 7.5%, but since this applies only to relatively small, drip-fed amounts, it’s not going to result in a life-changing sum of money.

Whether it’s worth the effort is ultimately subjective. Some people value simplicity and don’t want multiple accounts to manage. It’s not just about maintaining these accounts and keeping track of their maturity dates—regular savers can also create cashflow issues if you’re not careful, as they often tie your money up for a fixed period. None of this is insurmountable for someone who is financially literate, but I think there is a tendency on this forum to downplay the complexity.

Another consideration is being able to clearly explain your financial affairs to others who may have an interest in them. Personally, I wouldn’t want to leave thirty-plus accounts for my loved ones to untangle.

To some people—especially those who like to optimise every pound of their savings—it can still be worthwhile. This is a money-saving forum, after all. I used to fall into this category, but I’ve recently been drawn more towards the simplicity side of things.

jimjames

Please can you direct me to this mythical ordinary savings account where I can secure 4.5% fixed with no hassle.

It's not mythical and the post made no mention of being fixed rate but Chase offers exactly that account with no hassle.