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Compare Our Best Savings Accounts and Investments ISAs

Compare savings accounts and investment ISAs to see what best suits your circumstances and find the right place for your money.

*With an investment ISA your capital is at risk

  • Compare our top providers
  • Pick the best type of account for you
  • Savings accounts are protected by the Financial Services Compensation Scheme (FSCS)¹

Compare savings accounts from our top providers

You'll only find results from genuine companies. Our data experts check each company before we add them to our comparisons.

YBS
RCI
Skipton
paragon
Investec

How to get a savings account

1

Compare savings account deals

Take a look at the interest rates, extras and add-ons from our chosen providers.

2

Choose the best account for you

Decide what features are most important to you and select the right account.

3

Click on the right deal

Click through to the account provider and set up your savings account.

4

Start saving

Deposit your existing savings into your new account, or set up a direct debit to start saving from scratch.

Savings accounts deals

9 results found, sorted by highest interest rate. How we order our comparisons. Commission earned affects the table's sort order.
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Skipton 3 Year Online Fixed Rate Cash ISA Issue 168
Account type
Cash ISA
Open with
£500
Interest rate
1% AER fixed for 3 years
Protection scheme
FSCS
Interest is paid on the anniversary of account opening and on maturity. Withdrawals not allowed, early closure incurs interest penalty which may mean you get back less than you paid in. Check restrictions on paying in.
Rate Tiers
Gross rateGross rateAERAER
Excluding bonusIncluding bonusExcluding bonusIncluding bonus
£5001%1%1%1%
Eligibility
Maximum AgeUnlimited
Minimum Initial Deposit£500
Minimum Age16 years
Permanent UK Resident
Skipton 2 Year Online Fixed Rate Cash ISA Issue 168
Account type
Cash ISA
Open with
£500
Interest rate
0.9% AER fixed for 2 years
Protection scheme
FSCS
Interest is paid on the anniversary of account opening and on maturity. Withdrawals not allowed, early closure incurs interest penalty which may mean you get back less than you paid in. Check restrictions on paying in.
Rate Tiers
Gross rateGross rateAERAER
Excluding bonusIncluding bonusExcluding bonusIncluding bonus
£5000.9%0.9%0.9%0.9%
Eligibility
Maximum AgeUnlimited
Minimum Initial Deposit£500
Minimum Age16 years
Permanent UK Resident
High Street Savings Provider of the Year - Moneyfacts Consumer Awards 2021
Yorkshire Building Society Internet Saver Plus (Issue 9)
Account type
Easy access
Open with
£1
Interest rate
0.5% AER variable on £50,000+
Protection scheme
FSCS
The interest rate you receive will vary based on your account balance.
Rate Tiers
Gross rateGross rateAERAER
Excluding bonusIncluding bonusExcluding bonusIncluding bonus
£10.4%0.4%0.4%0.4%
£1,0000.43%0.43%0.43%0.43%
£10,0000.45%0.45%0.45%0.45%
£50,0000.5%0.5%0.5%0.5%
Eligibility
Maximum Initial Deposit£500,000
Minimum Initial Deposit£1
Minimum Age16 years
Permanent UK Resident

What is a savings account?

A savings account is a type of account with a bank or building society in which you deposit money on a regular basis to earn a return through interest.

The amount of interest you earn varies depending on the the kind of savings account you choose. There may be also be limits to how often you can withdraw money from the account.

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Who can open a savings account?

Most savings accounts are designed for adults, but there is also a selection of accounts for children under 16. Here is more information on how you can save for your child.

You might find that some savings accounts need a minimum opening deposit, which can be between £50 and £1,000, but some accounts can be opened with as little as £1. If the savings account is not an ISA, you can usually open it with at least one other person, or add them to your account at a later date.

To open any savings account, you have to be:

  • 18 or over (16 for cash ISAs)

  • A UK resident

Types of savings accounts

Instant access

An account that lets you add money and take it out at any time. You might be able to make free cash withdrawals in branch, and you should be able to transfer funds out at any time. This will suit you if you expect to need to spend your savings in the near future.

Fixed bond

An account that locks your money away for a fixed term, such as one year. These accounts usually come with fixed interest rates for the whole term. They will usually have the highest interest rates available, but that may involve locking your cash away for up to five years.

Cash ISA

With a cash ISA, you earn interest on your savings, but you don't have to pay any tax on the interest you receive. ISAs come in many different forms, including easy access and fixed term. You can put up to £20,000 into your cash ISA in each tax year.

Regular saver

An account that requires you to save up to a set monthly amount – ideal if you do not have a lump sum. They typically restrict you from saving over a certain total amount in the account, as well as limiting withdrawals. However, they will often have higher interest rates.

Notice account

With a notice account, you have to give notice to withdraw money (such as 60 days), or pay an interest penalty. These accounts usually let you pay in at any time. Be aware that if you do need to get to your savings, the penalty would likely undo any recent gains.

Savings and interest

The interest rate on your savings account indicates the return you will get for keeping money there. When you save money with a bank or building society you are essentially lending them your cash, therefore they pay you interest.

Our graph shows the impact of different interest rates over a two year period on savings of £1,000.

You can see that the amount of interest in the account goes up sharply, even if the rise in interest rate is comparatively small. Finding the best interest rate is an important part of maximising the power of your savings – ensuring your money is earning as much as it can.

Choosing the best savings account

Choosing the best savings account can be confusing as there are so many different types to choose from. Our comparison table shows many of the savings accounts you can get online, over the phone or by visiting a branch.

The important thing to remember is that there isn’t one ‘best’ savings account for everyone. Every account has different requirements and every person’s circumstances will be different. You will need to find the best account for you, based on which features suit your financial situation.

This table shows the potential interest you can earn from different types of account, though you will need to weigh that against the potential for you to activate an early withdrawal penalty or be affected by deposit limits.

For example, a regular saver might have the highest interest rate, but you will not be able to deposit all your savings at once.

A fixed-rate bond has a high interest rate, but you won't get any if you make a withdrawal before the account matures.

Notice periodInterest (up to)Early withdrawal penaltyMinimum deposit
Easy AccessN/A0.5%N/A£0
Instant access N/A0.5%N/A£0
Regular saverN/A3.5%N/A£1 - £50
Notice account30 - 120 days0.75%No interest£0 - £5,000
Fixed rate bondsN/A1.75%No interest£1,000
ISA30 - 90 days2.5%N/A£500

What to think about before you open your savings account

Like most financial products, there are some advantages and disadvantages to savings accounts:

The benefits

  • They’re easy to open
  • Accrue interest so you make your money work for you
  • Some allow easy withdrawals when you need to
  • You can open some with just a £1 initial deposit
  • Are protected by then FSCS

What to look out for

  • Interest rates at the moment are low
  • Some accounts may charge a penalty for withdrawing your money
  • Your account's interest rate can vary over time
  • Some accounts might have monthly fees
  • The amount you can save might be limited

Saving in a current account

You can save in a current account, but only consider a current account for savings if you find one that pays more interest than savings accounts offer, and you can remain disciplined not to take your money out.

Here are a few reasons why you should not save your money in a current account:

  • Lower interest rates compared to savings accounts, and some pay no interest at all. There may also be restrictions on how much of your balance you can earn interest on.

  • You could spend your savings easily: when your money is readily available, you may be tempted to dip in every now and again, which will eat away at your savings.

  • Monthly fees are common with high interest paying current accounts.

  • More vulnerable to fraud: you could lose your money through debit card fraud.

Topping up your pension

By saving into your pension pot you can access significant tax breaks, but you won't be able to spend the money until you are at least 55.

Saving for retirement is hugely important, so if you do have some money spare it can be worthwhile. Growth in a pension pot is largely tax free, but you can learn more about the details of private pensions here.

Investment ISAs

An investment ISA, also known as a stocks and shares ISA, is a type of tax-efficient investment account. You can earn a return by investing your money through shares, funds, investment trusts and bonds.

The annual ISA allowance means that any returns you earn are tax free. You won't have to pay dividend, capital gains or income tax on the profits you make from the investments held in your stocks and shares ISA.

You can find out more about investment ISAs here.

"A savings account can be a great tool to build towards a savings goal and stash the cash you want to keep for the future.

"But remember to pick the right savings account for you. If you know there is a big expense around the corner, locking away a big chunk of your money could backfire."

High-interest savings accounts

Currently, with the Bank of England base rate being so low, high-interest savings accounts are difficult to find. But that doesn't mean there are not some competitive interest rates out there.

Once the base rate rises again, you're more likely to see a return of high-interest savings products to return to the market.

Tax-free savings accounts

Independent Savings Accounts (ISA) are examples of tax-efficient savings accounts. These let you save money, without paying tax on any interest you make. They'll often offer you some of the best savings interest rates too. But remember that you're restricted on how much you can pay by the ISA allowance.

Everyone has an ISA allowance for the tax year (6 April - 5 April). For 2021/22, that allowance is £20,000. Types of tax-free savings account include:

What is the personal savings allowance?

The personal savings allowance is what allows most people to earn savings account interest without paying any tax on it.

If you're a basic rate taxpayer:

You can earn up to £1,000 of interest from a savings account without paying tax.

If you're a higher rate taxpayer:

You can earn up to £500 in interest from savings accounts. Even with a high-interest savings account it's unlikely you'd earn this much on your savings.

If you’ve used up all of your Personal Savings Allowance, then you could get a cash ISA. You don’t pay any tax on the interest you earn from cash ISAs.

Only people with sizeable savings need to worry about having to pay tax on the interest they earn from their savings. That's less than 5% of people.

 Here's more information on how tax affects your savings.

How much protection do I get with a savings account?

If your savings provider goes bust, you’ll get £85,000 of protection per person, per institution, with the FSCS. You’ll get £170,000 of protection if it’s a joint account.

This means that, if you have your savings split between different savings providers, you could end up with more protection. But check with your providers as some share licences, such as HSBC and First Direct. That means you’d only get £85,000 of protection across the two.

Savings Account FAQs

You'll be able to do this online, by phone or in branch. Some accounts have to be opened in specific ways.

To open a savings account, you'll need to provide ID and proof of your address so the bank can do its checks.

Usually as much as you want, but some accounts restrict how much you can save. This guide explains how to manage each type of account.

Yes, but only if the account allows withdrawals. Some do not let you take any money out without a penalty, find out more in this guide.

No, you can choose how much access you have to your money by choosing the right savings account. This guide explains which accounts are available.

Yes, however you can only save into one ISA every tax year. Read this guide for more information on choosing the right savings account.

Yes, most savings accounts can be set up in joint names, so you should be able to do this if you’d like to save with someone else.

Sometimes, you’ll find a current account with a higher interest rate than a savings account.

But you should be aware that current accounts usually only pay interest up to a certain balance.  

You’ll also have to have a credit check to open a current account. You can open a savings account without the need for a credit check.

Yes, your finances are not checked when you open a savings account. If you need help choosing the right savings account, read this guide.

The Annual Equivalent Rate (AER) shows you how much interest you will earn over the course of a year taking into account compounding and other charges. The gross rate is the flat rate of interest that's actually paid.

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Why compare savings accounts deals with money.co.uk?

Comparing savings accounts could save you money. Our multiple award-winning comparison service makes sure you get the lowest fees and rates possible based on your individual circumstances. Our aim is to provide you with the most up-to-date information, as well as useful tools and calculators so to help you make life's most important decisions and take control of your money.

Proud to be award winning

We have always aimed to provide the best possible services to bridge the gap between our users and our clients. Over the years, we have been thrilled to be recognised by various prestigious bodies and organisations for those efforts.

¹You can find out more about how the Financial Services Conduct Authority protects your money by visiting FSCS.org.uk.

Last updated: 26 August 2021