This depends on how you want to save, as the highest interest rate does not always mean it is the best account for your charity's needs.
To find the best charity savings account think about:
How much you want to open an account with
How much access to the money your charity needs
Which offers the highest interest rate
You can use our comparison table to find the best accounts to suit your charity's needs.
What charity savings accounts are there?
You can choose between:
Instant access: you can withdraw your money anytime
Notice: you have to give notice before you can withdraw, e.g. 60 days
Fixed term bonds: you lock your money away for a set term, but with a fixed interest rate
If you tie your money up in a fixed term charity bond, you could face large interest penalties if you withdraw your money early or before the maturity date.
How to open a charity savings account
You will need:
The money required to open the account
Your charity's registration number
The name, address and identification of all signatories*
Proof of your charity's address
Some accounts need two board members to sign before making any changes, for example, when changing account holders.
Find out how to get your charity registered by visiting the GOV.UK website, if it is not registered already.
Does your charity qualify?
Most charity accounts ask that you fit their qualifying criteria before you can apply, for example:
Employ up to a set number of people, such as 250 people
Have an annual turnover up to a set amount, such as £250,000
Most charity savings accounts are available to business owners, but some providers offer specialist accounts specifically for charity use.
Charity savings account FAQs
Can anyone withdraw from my charity savings account?
No, only the named account holders can make withdrawals from a charity savings account.
Can I open a charity savings account online?
Some will let you, but others require you to go into a branch to apply and provide the relevant documentation to open the account.
Do I pay tax on charity savings?
No, all charity savings accounts pay interest without deducting tax. Find out more about charitable exemptions on the GOV.UK. website.
Does my charity need to be registered to qualify?
Yes, all charity savings accounts require your charity to be registered. If yours is not, visit the GOV.UK website to find out how.
What is AER?
It is the Annual Equivalent Rate which tells you how much interest you will actually get paid until the end of the term of your chosen savings account.