Best savings rates this week

Last updated: Sep 12th, 2014
Feature by Moneywise editorial team

In this article, Moneywise reviews regular, children's savings, fixed-rate and instant-access accounts with the best savings rates currently on the market.

If you haven't used your cash ISA allowance this tax year, then getting an ISA should be your first port of call, check our round-up of the best cash isa rates.

Find the best Cash ISA or savings account for you

INSTANT ACCESS

If you're looking for an account where you can access your money quickly, then a no-notice deal is a good idea.

Just remember, the interest rate on these accounts is variable so it could decrease down the line.

Also, watch out for sneaky terms and conditions - not all instant access accounts offer unlimited withdrawals, so shop carefully. 

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NOTICE ACCOUNTS

If you want to make withdrawals but are happy to give your bank or building society notice before you do, then you could get a better rate with a notice account, although recently rates have been disappointing.

  • Shawbrook Bank 120 Day Notice Personal Savings Account (Issue 12) pays a rate of 1.85% AER. Minimum investment for the saver is £1,000 and it can be accessed online, by post, in branch or over the phone.
  • Julian Hodge Bank 90 Day Notice Deposit offers savers 1.7% AER. The account can be accessed in branch or by post. Minimum deposit is £10,000.
  • GE 100 Day Notice (Issue 4) pays 1.55% AER. The account can be opened with £500 and the saver can be accessed online only.

FIXED RATE

Fixed-rate savings accounts are normally aimed at people with a lump sum that they wish to lock away for a pre-agreed period of time.

Interest is fixed so your return is guaranteed. However, bear in mind that withdrawals and further deposits are rarely allowed.

SHORT TERM

One year/18 months:

  • United Trust Bank 18-Month Bond pays a rate of 2.15% AER on a minimum deposit of £500. The account can be accessed online or by post.
  • Bank of Cyprus UK Bond offers 2.1% AER for 18 months on a minimum opening balance of £1,000. The account can be managed online, in branch, by post or over the phone.
  • Paragon Bank Fixed-Rate Bond pays a rate of 1.8% AER on a minimum investment of £1,000. The saver can be accessed online only. 

Two year:

MEDIUM TERM (THREE AND FOUR YEAR TERMS)

Three year:

  • Shawbrook Bank Fixed-Rate Bond (Issue 20) pays a rate of 2.75% AER on a minimum investment of £5,000 over a three-year term. Interest is paid on anniversary and the saver can be managed online or by post.
  • Aldermore Fixed-Rate Account with a three-year term pays 2.7% AER on balances of £1,000. The account is accessible online, by post or over the phone. Interest is paid yearly.
  • Investec Fixed-Term Deposit pays 2.65% AER on balances of £25,000. The account is managed online only. Interest is paid on anniversary.

LONG TERM (FIVE YEAR)

  • Shawbrook Bank Fixed-Rate Saver (Issue 15) offers savers 3.2% AER. The account can be accessed online or by post. It requires an investment of £5,000.
  • Vanquis Bank High Yield pays 3.16% AER on a minimum investment of £1,000. Savers can manage the account online only. Interest is paid on anniversary.
  • Aldermore Fixed-Rate Account pays a rate of 3.1% AER, on minimum investments of £1,000. The account can be accessed online, by post or over the phone. Interest is paid on anniversary.

REGULAR SAVINGS

The current economic backdrop has not only highlighted the importance of saving, but means more people would like to do it little and often.

  • HSBC Regular Saver Account pays 4% AER on deposits between £25 and £250 a month. The rate is fixed for 12 months, and you must hold a qualifying account with HSBC to apply. No withdrawals can be made and it can be operated via the telephone, online or in branch.
  • Kent Reliance Regular Savings pays offers a rate of 4% AER on its one-year regular savings account, which is operated in branch. Savers must deposit between £25 and £500 a month. Interest is paid on maturity.

CHILDREN'S SAVINGS ACCOUNTS

  • Halifax Kid's Regular Saver offers a market-leading 6% AER 12 month bond. You can deposit between £10 and £100 in the account each month.
  • Lloyds TSB Young Saver account bond pays a fixed headline rate of 3% AER on investments of £1. The bond can be managed in branch only.
  • Chorley and District BS's Foxley Fund offers a rate of 2.9% AER on minimum deposits of just £1. The saver can be accessed in branch or by post and interest is paid annually. 

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