The best instant access savings account has been named, offering savers a rate of 4.55%. The account from First Active can be opened with a minimum deposit of just £1 and can hold balances up to £1 million.
Competitive market for savers
The savings market is highly competitive at the moment, with many accounts paying well above the Bank of England's base rate. This has prompted personal finance experts to urge Brits to consider switching their savings accounts if they have held the same one for many years, as several older accounts pay well below the current average rate available.
Instant access accounts are among the most popular with UK savers because they offer the flexibility to withdraw money whenever needed. This provides a sense of security, knowing funds are accessible in case of an emergency.
Details of the top account
MoneySuperMarket regularly updates its list of the best rates available to savers to help them make informed decisions about where to get the best returns. According to MoneySuperMarket, the Instant Access Savings Account with bonus rate from First Active offers an attractive 4.55%, the highest for any account of its kind.
Savers can earn 4.55% AER / 4.46% Gross p.a (variable) on balances from £0 to £1m, which includes a 12-month fixed bonus of 1.5% AER / 1.45% Gross p.a. There is no notice period for withdrawals, and the minimum deposit is £1.
First Active is part of the NatWest Group, and customers' savings have FSCS protection. The account can be opened quickly online.
Bonus rate terms
While the bonus rate is fixed during the 12-month offer period, the standard rate is variable and may go up or down. If rates decrease and the balance is £100 or more, the provider will give at least 14 days' notice.
Other options available
Tembo Money Ltd's Home Saver also offers a rate of 4.55%, and customers can earn up to 5.55% AER variable when using the Tembo mortgage service. However, it is available for the first 12 months, conditional on completing a mortgage application through Tembo within 3 years.
Following that is the Chase Saver With Boosted Rate at 4.50% variable. It requires a minimum deposit of £1 and includes a 2.25% AER bonus for the first 12 months.
Higher rates are available when opening a Cash ISA, with Sidekick leading the way with 4.61% Variable.
