Bank offers market-leading savings account with 5% interest rate
The bank with the highest easy access interest rate offers an attractive 5% interest, giving savers quite a big earning on the cash they store away.
Savers who are considering switching mainly look out for one thing: the interest rate. The higher the rate, the more you get back. Banks and other savings providers regularly offer new savings account deals and rates. One of them is an impressive 5% easy access account, which some Brits have already been taking advantage of since its launch last month.
Revolut, which recently launched Revolut Bank in the UK after restrictions on its banking licence were lifted, offers an easy-access account with a 5% interest rate, making it the market leader, according to Moneysupermarket. Personal finance experts have said that the account will certainly be appealing for savers, but there are some things to consider before you decide to open an account.
To get the 5% savings account, you will first have to open a current account with Revolut Bank. This is done on the mobile app.
If having in-person services from a savings provider is important to you, then this might not be the account for you, as Revolut doesn't have any physical branches in the UK.
"The latest offer from Revolut is enticing in the current savings market," said Rachel Springall of Moneyfacts. Speaking to Sky News when the account launched, she continued: "On paper, savings accounts like the Santander Edge Saver and Cahoot's Sunny Day Saver both pay over 5%, but only on smaller balances.
"The boosted rate of 5% is only available for the next six months, so savers would be wise to make a diary note to review and switch in December."
Albert Codorniu, general manager of savings at Revolut, said: "Implementing this boosted 5% rate is a commitment to passing tangible value back to our users."
The 5% interest rate is earned on deposits of up to £25,000 from today (June 8), with unlimited withdrawals. The account will maintain its 5% interest rate regardless of how many withdrawals are made, but the rate will drop in December.
After that, the rates depend on the plan type and savings currency, from up to 2.9% on the Standard plan to up to 4% on the Ultra plan.
