Earlier this month, the bank announced that all of its checking account customers will be able to open a regular eSaver account. Other banks and building societies, such as NatWest and Nationwide, also raised interest rates despite the cost of living crisis. Returns on savings and investments are diminished by the soaring rate of inflation in the UK, which recently hit a 40-year high of 9.4%.
This particular savings product from Santander pays interest of 2.50% AER/gross for 12 months.
Around 5.4 million UK customers are expected to benefit from increased savings, according to Santander.
The e-Saver Regular was previously only available to the bank’s 1I2I3, Select and Private Current Account customers.
As a result of this change, the Savings Account is now available to all Santander Personal Current Account customers, including Daily Current Account and Basic Current Account holders.
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On top of that, the bank has hiked rates on much of its savings range to benefit as many of its customers as possible.
Hetal Parmar, head of banking and savings at Santander UK, explained why the financial institution has chosen to raise interest rates at this time.
Ms. Parmar explained, “Saving is important to many people for their financial well-being, whether it’s for a rainy day, home renovations or something else.
“Santander offers a range of savings accounts, now boosted by some of the best rates from a major bank, to help millions of customers reach their savings goals.”
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By comparison, the Nationwide Building Society recently raised the interest rate on its Triple Access Saver by 1.50%.
On top of that, the financial institution has launched a new issue of its one-year triple access online saver which now pays a premium rate of 1.50%.
Each account will allow customers to make three withdrawals over the 12 month period, with any further withdrawals bringing the savings product down to 0.15%.
Tom Riley, Director of Banking and Savings at Nationwide Building Society, said: “Our Triple Access Online Saver and ISA accounts pay some of the highest rates on the market and will appeal to those looking to save with a great store well. known. brand they trust.
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“At the same time, we are also raising rates on our fixed rate bonds, providing competitive rates for those who want to tie up their money for a while.”
Despite being another generous interest rate offer, Nationwide is unable to beat Santander’s latest hike.
However, a recent savings announcement by NatWest was able to top Santander’s offer.
Currently, NatWest has a savings account with a 3.25% interest rate for customers on their first £1,000.
An additional interest rate of 0.30% is charged on balances of £1,001 to £5,000 and 0.10% on any amount over £5,000 on your account.
To open this account, customers must be at least 16 years old and resident in the UK.
The account can be opened online or through our mobile app and savers will be able to manage their finances through the same means or by visiting a local branch.
Customers can only deposit up to £150 into the NatWest savings account each calendar month.