There’s not been a lot for savers to cheer about for quite some time, so it’s great to be able to continue to report on increasing best buy rates. May has been another good month, especially for those who are prepared to use a lesser known name.
RATES ARE CORRECT AS AT THE TIME OF PUBLICATION (28/05/2021). All up-to-date rates can be found on our Best Buy tables.
Although Atom Bank hasn’t been challenged for the top spot, a late move by Charter Savings Bank this week has seen the bank move into second place with a rate of 0.45% AER. There are no restrictions to the number of withdrawals that can be made and for those who prefer to open their accounts in a more traditional way, this account can be opened by post as well as online.
There has been yet more activity in the notice account best buy table and we now have two new accounts toppling Charter Savings Bank from its top spot.
First Allica Bank launched its 95-Day Notice Personal Savings Account (Issue 1) paying 0.70% AER and went into the top spot – but then on Friday Shawbrook Bank launched a 120 Day Notice Personal Account Issue 48 paying 0.72% AER.
It’s the first time we seen a notice account paying 0.70% AER since the end of last year.
Ongoing activity over the last couple of weeks means that all of the top five bonds in the 1-year best buy table are paying 0.80% or more – two weeks ago there was just one. After a little bit of jostling, ZOPA ends the week in the top spot, paying 0.86%. At the beginning of the month, the best 1-year on offer was paying just 0.70% AER.
Over 2-years ZOPA, Shawbrook, SmartSave and Secure Trust Bank have all been battling it out for first place – but as the week ended it was once again ZOPA that was victorious by launching a 2 year Fixed Term Savings bond paying 1% AER. It’s been quite some time since we’ve seen 2-year bond paying as much as this. Will there more to follow?
ZOPA has actually scored a haul (I’ve been looking up football lingo – and apparently a haul is one more than a hat-trick!!) by also remaining at the top of the 3-year table with a best buy rate of 1.11% AER and the 4-year table paying 1.15% AER.
Finally, Aldermore also launched a stable of higher paying fixed rate bonds this week and as a result has gone straight to the top of the 5-year table, paying 1.45% AER.
How much longer we’re going to see these improvements is anyone’s guess – so keep a close eye on the best buy tables.
While best-buy Sharia-compliant fixed term accounts are still lagging behind standard best buy fixed rate bonds, BLME has once more increased a number of its rates, so that it is now paying the best rate over 1-year (0.80% AER), 18-months (0.85% AER), 2-years (1%) and 3-years (1.05% AER).
These new rates were in response to QIB via Raisin UK knocking them off their perch last week – so let’s see if QIB will retaliate!
There has even been some more action in the Fixed Rate Cash ISA tables to report on.
Over 1-year, there are three new ISAs leading the way. Shawbrook Bank has put the cat amongst the pigeons by launching a new ISA paying 0.55% AER, while Paragon has launched a new 1-year ISA paying 0.50% AER and Charter Savings Bank is just behind paying 0.49% AER. For the more traditional among you, the Paragon ISA can be opened by post as well as online – the other two are online only.
Shawbrook is also at the top of the 2-year and 3-year Fixed Rate ISA tables, paying 0.70% and 0.80% respectively – plus is in 2nd position in the 5-year table, paying 1.10% AER – just 0.01% behind the current leader, Close Brothers.
Let’s see is anyone picks up the gauntlet and challenges Shawbrook.
As well as it’s new Easy Access account, Charter Savings Bank has also launched a new Easy Access cash ISA paying the same rate of 0.45% AER. Unfortunately you can’t open their ISAs by post but it is putting some pressure on the current market leader, Cynergy Bank which is just ahead paying 0.46% AER.
Let’s see what next week brings.
We will of course keep you up to date with the ongoing activity, but in the meantime, keep checking in on the Best Buy tables.