Fixed-rate bonds receive a boost from Wyelands Bank

On the rise: Wyelands Bank has raised the rates of fixed-rate bonds to one and two years

Wyelands Bank has moved to the top of the savings tables of the best independent purchase of This is Money with two new fixed-rate accounts.

The rival bank has launched a one-year agreement paying 2.15 percent, beating the closest rival, the Atom Bank.

While not a big jump, an increase of 0.1 percentage points is better than the typical marginal improvement of 0.01 percentage points that banks often use to scale tables.

In addition, it has also boosted its two-year agreement rate to 2.25 percent, giving it an advantage of 0.05 percentage points over a group of agreements of 2.2 percent.

On the rise: Wyelands Bank has raised the rates of fixed-rate bonds to one and two years

On the rise: Wyelands Bank has raised the rates of fixed-rate bonds to one and two years

These include BM savings, Hampshire Trust Bank, Investec and Paragon Bank.

Wyelands Bank requires a minimum deposit of £ 5,000 and accounts can only be opened and managed online. Both offers offer annual or monthly interest payments.

The bank is part of the Financial Services Compensation Scheme.

Those who prefer a smaller minimum balance will be better looking at Atom Bank as the next best alternative, paying 2.05 percent in one year or BM Savings for two years paying 2.2 percent.

Currently, the savings market, Raisin, offers a refund of up to £ 80 if you open certain fixed rate savings offers through your website that could make you earn a little more.

This offer applies to both ICICI Bank and Gatehouse Bank, a bit lower in the This is Money savings tables, paying 1.95 percent and 1.9 percent respectively.

However, the cashback has levels and you only earn the full £ 80 if you deposit more than £ 40,000 in your account.

Over the course of a year, a rate of 1.95 percent, including the bonus, pays a couple of pounds more than the highest rate of 2.15 percent that would earn you without a bonus.

In addition to its new leading market rates of one and two years, Wyelands Bank has also boosted its six-month fixed-rate account to pay 1.6 percent, and its 95-day notice agreement, to pay 1, 62 percent.

However, although both offers are competitive, neither is the best purchase rate.

None of the previous accounts exceeds the current inflation rate, which is 2.4 percent.

Savers still need to fix themselves after five years to get over it, with the best offers currently offering 2.68 percent.

Keeping accounts

Increase: how rates compare with other changes in base rates over the years

Increase: how rates compare with other changes in base rates over the years

Increase: how rates compare with other changes in base rates over the years

Is the tide about to become savers?

Wyelands Bank increases come immediately after the Bank of England interest rate hike last week, which could be good news for savers who are hungry for interest in the country.

However, savers should not harbor the hope of a wave of new generous savings rates according to experts.

According to research conducted by the Savings Champion counseling website, while rates fell after the base rate decline in August 2015, banks did not pass on last year's interest rate increase to savers. .

Their figures show that the interest in the average savings account increased less than 0.25 percent between the increase in rates last November and the announcement by the Bank of England on Thursday of last week.

The average easily accessible savings rate, in fact, only increased by 0.9 percentage points.

Anna Bowes, co-founder of Savings Champion, said: "Savers have been waiting long enough for a positive movement in the base rate, as we have been stuck with record rates for almost a decade.

"This last movement has been slow to arrive.

"However, savers can not afford to be complacent.

"The link between the base rate and the savings rates of suppliers has been disconnected over the years and some suppliers did not increase their rates after the last increase in the base rate, others with much smaller margins than would otherwise be the case wait".

Not all is bad news, since Savings Champion figures also showed that last week the number of banks that increased savings rates increased from 47 percent to 85 percent.

Charles Haresnape, executive director of the defiant bank Gatehouse, believes that the increase in the base rate will raise rates over time.

He said: "The decision to increase the basic rate means that there is light at the end of the tunnel for UK savers who have faced a decade lost in the low interest rate environment, which has done little to help them build eggs. for vacations, homes or retirement.

"Savers can now expect the benefits of escalating savings accounts, but this is unlikely to happen overnight.

"Although it is likely that it will be a long time before the rates return to what anyone over 40 considers" normal ", it is important that people understand the positive impact that the habit of saving can have, helping them make more purchases. or as a safety net for unforeseen financial emergencies. & # 39;

THIS IS THE TAPE OF THE BEST MONEY SAVING OFFERS

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