Best savings accounts this week
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For instant access…

  • National Counties Building Society has increased the rate on its easy-access Online Saver account, which now pays 1.41% yearly. Savers can invest from as little as £100 up to a maximum of £250,000. Additions and unlimited withdrawals are permitted. This deal can be operated online only.
  • Verdict: Savers looking for a straightforward internet account will be interested by this latest deal from National Counties Building Society. Paying 1.41%, it sits just shy of the market-leader and would be great for anyone looking to kick-start their savings habit.

For longer-term savings…

  • GE Capital Direct has launched a new 18-month fixed rate bond paying 1.92% upon its anniversary or 1.90% monthly. Savers can invest from £1,000 up to a maximum of £250,000. Additions and early access to funds is not permitted. This deal is for savers aged 18 and over and can be operated online only.
  • Verdict: This new 18-month bond paying 1.92% from GE Capital Direct is highly competitive and heads straight into the top five for its sector. This is likely to be a popular choice for savers looking for a straightforward fixed rate over the shorter term. However, with no additions or early access to funds, savers must make sure they are happy with their initial investment.

For ISA savings…

  • Virgin Money has reviewed its five-year fixed rate ISA which now pays 2.25% yearly or 2.23% monthly. Savers can invest from as little as £1. Additions are permitted up to 30 days from the account opening, early access to funds is also allowed subject to a 180 days’ loss of interest penalty. Transfers in from cash and stocks & shares ISAs are welcomed. This deal is for savers aged 16 and over and can be operated by branch, post and online.
  • Verdict: This latest ISA review from Virgin Money is sure to entice savers. Paying 2.25% this deal is highly competitive as sits in the top five in its sector. The extra flexibility of early access to funds is likely to boost what will be an already popular product for savers looking to shelter their funds from tax.

For the over 65s...

  • National Savings & Investments has launched new one and three-year fixed rate bonds for savers aged 65 and over, paying 2.80% for the one-year term and 4.00% for the three-year bond. Savers must invest from £500 up to a maximum of £10,000. Early access is permitted subject to a penalty of 90 days’ loss of interest. This deal is available to customers who apply online, by post or by telephone.” You read more about the pensioner bonds here.
  • Verdict: The long-awaited arrival of the Government-backed “pensioner bonds” is finally here. Paying extremely competitive rates, these deals offer considerably higher returns than what is currently available on the market and subsequently enter the top of their respective sectors. This is likely to be a popular choice, so savers aged 65 and over should act quickly to ensure they do not miss out.

Source: Moneyfacts