7% Savings Accounts That Can Earn You Hundreds in Interest

interest rates Another cut could be made before the end of the year, with the Bank of England’s monetary policy committee meeting twice more before January – including on Thursday.

Since inflation is no longer rising and productivity, growth and jobs are all back on the agenda, the committee may be inclined to vote down to 3.75 percent.

This means savers need to make sure they put their money where it gets the best returns – and luckily, we’ve got that A list of the best cash ISAs, easy access accounts and fixed-term saversAll of them offer more than 4 percent interest for your guarantee Wealth growing on rate faster than inflation,

But there’s an additional type of account where you can earn a lot more: regular savings accounts. These are designed to encourage saving habits by making monthly payments and getting better interest rates in return.

Here are the ones that will still offer you at least 7 percent on your money — but note that each has its own requirements, limitations, and use cases, so make sure whatever you choose is right for your circumstances and needs.

Riyasat Building Society

Offering a 7.5 per cent AER, it’s a six-month regular saver that gives people the chance to save up to £200 per month – up to £1,200 in total over the term.

You cannot withdraw the money until the end of six months and the entire interest amount is paid at the end of the period.

If you max out the savings limit at the start of each month you’ll earn around £25 in interest over that period.

If it doesn’t feel as good in isolation, accept that it is Time and compounding that really supercharges your savings And finding great rates is just the start of that. You will end up with £1,225 or so Can seriously boost your main savings account – Allows you to start over with a new regular saver, vastly improving your overall financial flexibility in the process.

More information on Principality deal here,

zopa bank

in the middle banksChallenger Zopa offers the best rate on a regular saver – it’s 7.1 percent AER.

There are some minor differences to the Principality One: you can save a maximum of £300 per month, and interest is paid out savings Monthly account.

This lasts for 12 months rather than six, but perhaps the most notable difference is that Zopa allows easy access to a regular savings account if you need cash at short notice.

By maxing out the allowance over the course of a year and as quickly as possible you could earn around £137 in interest – so you’ll have around £3,737 in your account as stated.

you need to open A Zopa Biscuit Account (their normal current account) to reach the regular saver.

first direct

Similar in style to Zopa, the first direct offer is 7.0 per cent AER, fixed for 12 months on their regular savings.

You can add between £25 and £300 per month, the idea is still to encourage consistent saving habits – but if you’re already saving regularly then there’s nothing wrong with using these high-interest regular savings accounts to boost some of your funds!

Adding the maximum each month will yield approximately £136 over the year, giving a total of £3,736 by the end of the year. You set up a standing order for monthly payments, so you choose the amount you want to save monthly at the beginning – additional amounts can’t be added later.

At the higher rate money can only be received and withdrawn at the end of 12 months – if you close early you get a much lower standard rate.

As is usually the case, for First Direct Savings Account You first need a current account (called the First Account).

co-operative bank

Finally, the Co-operative Bank’s lines are very similar to the first direct option, but with a £250 maximum monthly payment and one key difference: a 7.0 per cent AER interest rate. variables rate, which means that the Co-operative Bank can change it – they have to give two months’ notice before doing so.

Interest is paid at the end of the term, and if you do the monthly maximum you’ll end up with around £3,114, of which £114 will be interest payments. You can withdraw the money if you need but you cannot replace it later.

Then, you need a Co-operative Bank current account to access their regular savers,

AER stands for Annual Equivalent Rate and is used so you can easily compare accounts that may have different terms or pay interest at different frequencies. This is the required rate you will get when the interest is compounded and paid once annually.