Rates Rundown: A quiet week - base rate announcement anticipation or time off after the bank holiday?

11th May 2018

Whatever the reason, there’s no escaping the fact that it was a quiet week in the savings market – particularly when it came to eye-catching best buy changes.

Rates Rundown

Almost single-handedly providing the good news this week was Paragon, launching a whole host of market-leading rates across a range of different categories.

The provider joined Bank of Cyprus UK* at the top of our easy access best buy table and put clear daylight between it and the top-paying variable rate cash ISAs.

Paragon also took the lead in the notice account table this week and launched competitive new versions of its one year fixed rate bond and one year fixed rate cash ISA.

Hopefully next week will bring higher numbers of best buy changes but watch this space as we bring you the latest news - or sign up to our Rate Alert emails to find out about new accounts as they hit the market.

Easy Access Accounts

First on the list of best buy accounts this week from Paragon was the new version of its Limited Edition Easy Access account, paying 1.31% gross/AER.

The account joins Bank of Cyprus UK* at the summit of our best buy table, though unlike its rival there is no introductory bonus included in the interest rate, which may be more suitable for some savers.

For more information on the two leaders mentioned above and for the rest of the current top five, take a look at our easy access best buy table.

Variable Rate Cash ISAs

Arguably even more impressive was the new version of Paragon’s Limited Edition Easy Access cash ISA, also paying 1.31% tax free/AER.

This is a marked improvement on the previous leading account (1.25%) and also means that the top easy access and equivalent cash ISA rates now match – good news for those who would like to make use of their cash ISA allowance.

To take a closer look and compare the account to the best of the rest, click here for our variable rate cash ISA best buy table.

Notice Accounts

Paragon also swooped in to take the lead in our notice account table, paying 1.66% gross/AER on the new version of its 120 day notice account.

For more information on the account and further options, with a range of different notice periods, take a look at our notice account best buy table.

Fixed Rate Bonds

Paragon was also active in the fixed rate market – launching a one year fixed rate bond paying 1.86% gross/AER, that is now in second position in our table, behind Investec (1.90%).

That said, Investec requires a comparatively high minimum opening balance of £25,000, so Paragon would be a good option for those looking to deposit lower amounts.  

For those looking for a fixed rate for a longer period, Secure Trust Bank leads the way for two years, paying 2.16% gross/AER. RCI Bank tops the three year table, paying 2.31% gross/AER*.

Amongst the long-term fixed rate bonds, Vanquis Bank dominates, paying 2.52% gross/AER for four years* and 2.70% gross/AER for five years*.

For more detail on each of these accounts or to view other leading rates across the full range of terms, please refer to our fixed rate bond best buy tables.

Fixed Rate Cash ISAs 

Finally, more good news from Paragon, with its new one year fixed rate cash ISA paying 1.50% tax free/AER, which sits at joint top of our best buy table, alongside Hodge Bank.

Leading the way for two years is Kent Reliance (1.68% tax free/AER) and United Bank UK is top for both three years (1.87% tax free/AER) and five years (2.65% tax free/AER).

For more on each of the above accounts and for other options, visit our fixed rate cash ISA best buy tables.

If you need any help with your savings, why not give one of our Bath based savings experts a call on 0800 011 9705, we’d love to hear from you.

Meanwhile, if you want to keep up to date with the best rates as they hit the savings market, follow us on Twitter or sign up to our Rate Alert emails for the latest new accounts hot off the press.

*We are occasionally paid by some providers if you click through from our Best Buy Tables and open a savings or current account with them. We will never accept a payment that compromises in any way our independent, whole of market approach to providing information on savings products. For clarity we will indicate those companies who remunerate us with an asterisk (*).

Freddie Collins

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