Bank gives market-leading 6.05% curiosity on mounted financial savings account

Atom Bank is now providing savers one of many high charges of interest for one-year fixed-term savings accounts.

Launching in 2014, Atom Bank is the UK’s first app-based financial institution based mostly within the North East of England. The financial institution gives a variety of merchandise, from mortgages and loans to financial savings accounts, that are protected by the Financial Services Compensation Scheme (FSCS).

Atom Bank’s One Year Fixed Saver gives a aggressive 6.05 % Annual Equivalent Rate (AER), and savers can get began with £50.

Fixed financial savings accounts allow individuals to lock in an rate of interest supplied firstly of the time period with out having to fret about it altering, including a layer of certainty to saving whereas charges fluctuate.

Interest on the mounted saver is paid on the anniversary of the account opening and as much as £100,000 will be invested general.

The account will be launched and managed by way of Atom Bank’s app and savers have to be aged 18 or over. Joint accounts will not be at present out there, and withdrawals will not be permitted all through the one-year time period.

But whereas Atom Bank could also be topping the desk for one-year fixes, competitors isn’t too far behind. Charter Savings Bank is providing an AER of 6.02 %.

The account will be opened with a minimal deposit of £5,000. Interest is calculated every day and savers can go for it to be paid month-to-month or yearly.

Savers have to be aged 18 or over and as much as £1million will be invested in complete. To present an instance of the curiosity the pot can amass, a £5,000 deposit is estimated to earn £301 over the course of the yr.

People can apply for the account on-line and withdrawals will not be permitted, that means savers needs to be comfy investing the cash without having to dip in till the bond matures.

Placing simply behind is Kent Reliance’s One Year Fixed Rate Bond (Issue 125) with an AER of 6.01 %.

A minimal deposit of £1,000 is required and saver can select for curiosity to be paid month-to-month or yearly.

The account will be opened and operated on-line or in a department and as much as £1million will be invested general. Withdrawals are additionally not allowed till maturity.

For individuals with barely bigger quantities to take a position, SmartSave, which is owned by British Bank Chetwood Financial, is providing a 6.01 % AER on its One Year Fixed Rate Saver with a minimal deposit requirement of £10,000.

Interest accrues every day and is utilized at maturity, and as much as £85,000 will be invested general. Savers have to be aged 18 or over and be UK tax residents, and withdrawals will not be permitted until in “exceptional circumstances”.