July 2020: what are the best savings account rates?

We share the best interest rates on Isas, bonds, and easy-access savings accounts.

Savers are piling cash into easy-access accounts. The average rate is at a record low of 0.24%, according to data analysts Moneyfacts, down from 0.59% at the start of the year.

However, you can do a lot better by choosing the best accounts. National Savings & Investments (NS&I) pays a top rate of 1% on its Direct Saver. Its Income Bonds, variable rate, pay out interest each month and is currently 1.15%. 

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For fixed-rate bonds, the average rate for one year is 0.71%. The top rate is via newcomer Allica Bank at 1.05%, followed by ICICI Bank, through the Raisin.co.uk savings platform, at 1%.

Even if you tie up your money for two years, you can earn only a top rate of 1.2% through Allica Bank, or 1.05% through RCI Bank. 

On cash Isas, fixed rates are even lower, with a top 0.7% for one year from Yorkshire Building Society or Metro Bank. For two years, the best rate is 0.8% via the Yorkshire. 

The best easy-access cash Isa rate is 0.9% through National Savings & InvestmentsDirect Isa. However, you can’t transfer your existing cash Isas into this account.

For transfers, you can earn 0.8% through Leeds Building Society’s Double Access Isa, but you are limited to two withdrawals a year.

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Comments

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I've just come across your website and was pleasantly surprised at the straight forward, no frills, information provided with regard to easy access savings accounts. Well done and thank you.

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