Savings provider increases interest rate to ‘market-leading’ 3.50%

Martin Lewis advises on savings accounts and premium bonds

We use your sign-up to provide content in ways you’ve consented to and to improve our understanding of you. This may include adverts from us and 3rd parties based on our understanding. You can unsubscribe at any time. More info

Another savings provider increased its interest rate this week providing more good news for savers. The one year fixed term deposit account now offers 3.50 percent interest on savings and has been called “market-leading” by the experts at Moneyfacts.

Savers who can afford to put their money away for one year could be interested in this One Year Fixed Term account from Ahli United Bank.

Customers will need to have a £1,000 deposit to benefit from this attractive interest rate of 3.50 paid on maturity.

Commenting on the deal, Eleanor Williams, finance expert at, said: “Ahli United Bank (UK) plc has made a notable 0.45 percent rate increase to its Raisin UK – One Year Fixed Term Deposit this week.

“Now paying a market-leading return of 3.50 percent, this takes the lead position in the top 10 when compared to other bonds with similar terms currently on offer.

She continued: “As is often the case with fixed accounts, investors need to be comfortable with their initial deposit and the duration of the fixed term, as neither early access nor further additions are permitted, but savers happy to secure their funds away for a year could be tempted by the return alone.

“Following the update, this account secures an Excellent Moneyfacts product rating.”

The interest rate increase makes it one of the best savings accounts currently available.

Savings rates have been improving since the Bank of England increased its interest rates last month.

British Gas engineer shares top tips to save up to £450 on energy bill [UPDATE]
Energy bills rebate: How will energy providers pay you? [ALERT]
Aldi’s new meal plan feeds a family of four for £40 a week [INSIGHT]
Martin Lewis explains how much bills will be even if you use no energy [WARNING]

The Bank of England Monetary Policy Committee voted to increase the Bank of England base rate from 1.25 to 1.75 percent in August.

Further rises are expected as the Bank of England predicts inflation could surpass 13 percent by the end of 2022.

Money Saving Expert founder Martin Lewis said anyone who is receiving less than 1.5 percent interest on their savings should reconsider their investment.

Savings and investing app Chip has launched a new savings account where customers can win a cash prize of £10,000. 

Savers only need £1 to open one of these easy access accounts from saving and investing app Chip.

Anyone can win the monthly £10,000 cash prize just for having £100 in their account but there is a catch.

The minimum deposit into the account is £1 and the maximum amount is £85,000, with every £10 deposited counting as one entry per month.

Users can also withdraw anytime with funds arriving in seconds but the account comes with a catch which could be a deal breaker for some – the Prize Savings account doesn’t offer an interest rate on savings.

The Raisin UK One Year Fixed Term Deposit offers:

  • Rate: 3.50 percent payable on maturity
  • Notice/term: One year
  • Minimum opening amount: £1,000
  • Maximum investment amount: £85,000
  • Access: not permitted
  • Further additions: not permitted
  • Opening account: online
  • Managing account: online, by phone and by post.
  • Minimum applicant age 18. with Raisin UK a £30 Partner Bonus can be claimed on savings accounts with a term of at least six months opened with a minimum of £10,000.

Source: Read Full Article