Yorkshire Building Society has launched a new monthly regular saver to help people build “financial resilience” and earn a “competitive return” on their short-term savings.
The Loyalty Regular Saver account is the latest “exclusive” member reward from the mutual which offers a variable interest rate of 5.75 percent.
Customers can deposit up to £250 per month and one withdrawal is permitted per year without penalty, or if closing the account.
It is only available to those who already have a savings account or have a mortgage with the Society.
Commenting on the deal, Chris Irwin, director of savings at Yorkshire Building Society, said: “We’ve supported generations of people and millions of members to save for important moments in life and we’re committed to continuing to explore ways that can help our members reach their financial goals or save for the future.
“Regular savings accounts are one way we can encourage our members to establish healthy savings habits.
“We’re really proud that this new account, which comes with an exclusive interest rate for our members is another example of how we reward the loyalty of our valued savers. Previous loyalty accounts have proved popular with savers and we’re sure this latest edition will be equally as well received.”
Members who qualify for an account can open the new Loyalty Regular Saver in branches and agencies and for members already registered, online.
The Society also offers a standard Regular Saver available to all, including new customers. This account has a variable interest rate of 5.25 percent and allows customers to deposit between £1 and £250 per month. Savers can access their savings twice in the year without penalty and can close the account if required.
The account can be opened in branches, agencies and online.
While the Yorkshire Building Society may be offering a more competitive deal, neither account is currently topping the tables just yet.
Online-based bank first direct now places top with an Annual Equivalent Rate (AER) of seven percent. The rate is fixed for 12 months and Britons can get started with just £25.
Interest is calculated daily and paid on maturity of the account exactly one year after opening.
Savers can deposit between £25 and £300 per month in multiples of £5. Withdrawals are not permitted throughout the 12-month term. In the event of this, the account will have to close and interest will be paid up to the closure date at the Savings Account variable rate instead.
Gatehouse Bank is offering an Expected Profit Rate of seven percent for 12 months. Gatehouse Bank operates under Sharia principles, which means profit is earned instead of interest.
The account can be opened with a minimum deposit of £1 and people can save up to £300 a month. Profit is paid on maturity and withdrawals are not permitted until the term ends.
The Co-operative Bank joins the top two, also offering a seven percent AER on its Regular Saver Issue One. Savers can deposit up to £250 a month and up to £3,000 can be invested in the account over the 12-month term.
Interest is paid on maturity and withdrawals are permitted without penalty or notice.
