Tesco Bank's one-year Fixed Rate Saver has been highlighted as a top deal by Moneyfactscompare.co.uk, which named it among its 'Picks of the Week'. The account now pays an attractive 4.84% AER and received an Excellent Moneyfacts product rating.
Rates increased on Fixed Rate Savers
Caitlyn Eastell, personal finance analyst at Moneyfactscompare.co.uk, said: “Tesco Bank has increased the rates on a range of its Fixed Rate Savers, including the one-year option which takes a prominent position in the top 10 when compared to its peers. The account now pays an attractive 4.84% AER and savers have the choice between having interest paid on its anniversary or monthly, which may be an ideal option for those looking to boost their income.
“While the account guarantees an attractive rate for a year, like many fixed accounts earlier access is not permitted, so savers should be comfortable with committing to the full term and consider having a small savings pot elsewhere if they anticipate needing to access their savings. To open the account savers will need at least £2,000 but, adding to its appeal, further additions can be made for 30 days from the account opening. On assessment, the account receives an Excellent Moneyfacts product rating.”
Other accounts selected
In the ISA category, the Chip Smart Cash ISA was chosen. It now pays 4.60% AER, including a 0.85% AER bonus for the first 12 months. The account can be opened with as little as £1, and access is permitted, though no interest is paid for the month if the account is closed or transferred out. A ChipX subscription costing £5.99 every 28 days offers wider or exclusive access to some features.
The Birmingham Bank 95 Day Notice Account was also selected. It increased its rate to 4.36%, requires a £5,000 minimum opening deposit, and permits unlimited penalty-free withdrawals via a nominated account, subject to notice.
Finally, the Zopa Biscuit Current Account was chosen. Zopa reduced its credit interest to 1.00%, but eligible customers can opt into one additional perk, including 3% cashback on monthly spending at restaurants, takeaways and bakeries, a boosted credit interest rate of 2.75% AER, or 3% cashback on up to £150 of direct debits. The account currently does not offer an arranged overdraft. All three accounts earned an Excellent Moneyfacts product rating.
