Members only… how to join the select few getting top savings rates

Moving in the right circles can open doors, and the world of savings accounts is no exception. Just like enjoying the exclusivity and benefits of a private club, being a member of a small building society can give you access to some of the best savings rates on the market.

Building societies often offer preferential rates to loyal customers. Major banks are less likely to reward loyalty and often advertise better deals to new customers to attract new business. Here we look at the secret savings offers reserved for members and what you need to do to participate.

Regular savings accounts that allow you to pay in more than a nominal sum

Regular savings accounts encourage people to save a set amount each month and reward their consistency with higher interest rates.

This is a good way to build a cash reserve from scratch, but some banks allow you to save much less than others. Accounts opened to new customers typically pay between 5 and 7 per cent interest, but limit contributions to between £300 and £500 a month, and some even less. For example, NatWest’s Digital Regular Saver pays 6.17 per cent but only allows you to deposit £150 a month.

Members-only accounts for loyal customers can be more generous – here are some of the best.

Monthly Savings for Market Harborough Building Society Members

As the name suggests, this is for members of the building society only. It allows you to deposit up to £3,000 a month and has an interest rate of 3.75 per cent. If you saved the maximum each month, after a year you would have earned £731.25 in interest and would have a balance of £36,731.25. There is a 30-day notice period.

Cumberland Building Society first housing saver

This is exclusive to first-time homebuyers who have Cumberland checking accounts. You can save up to £1,500 a month and pay 4.35 per cent. If £1,500 is deposited each month for a year, savers earn £425.82 in interest, which is paid annually on March 31.

The maximum balance is £25,000 plus accrued interest. After this, you will continue to earn interest but you will not be able to pay any further sums. The notice period is 90 days.

First-time buyers do not have to take out a mortgage with Cumberland, but receive a £250 cashback if they do.

Darlington Building Society Regular Monthly Savings

This allows members to save £750 a month and pay 4.6 per cent. If you saved £750 a month for 12 months, you would earn £225.15 in interest. You can make four withdrawals without penalty, but the fifth closes your account. The maximum investment is £30,000 and interest is paid annually. All existing members can open this account.

Yorkshire Building Society Regular Loyalty Savings

A fortnight ago, Yorkshire Building Society launched its Loyalty Regular Saver, allowing members to save up to £500 a month. The account pays a rate of 7 percent, making it one of the highest-paying accounts on the market. Saving £500 a month would earn £227.40 in interest at the end of a year. To open the account you must have had a savings account or mortgage with Yorkshire for at least 12 months.

Saffron Building Society 12 Month Regular Savings

Saffron’s members-only Regular Saver account has a monthly limit of £500 and pays 5.25 per cent interest. It is only for those who have been Saffron customers for the last 12 months. If you pay the maximum, you would earn £170.63 a year.

Coventry Building Society Regular Savings

Coventry Building Society recently outbid Saffron by raising its regular saver rate to 5.5 per cent last week. It also saves you £500.

Importantly, it is open to new and existing clients. You would earn a little more in interest over 12 months: £178.75.

Member of Skipton Building Society Regular Savings

This pays a near-market leading rate of 7.5 percent. This is available to members who joined Skipton before May 31st. If you save a maximum of £250 a month into this account, you can earn £121 in interest in a year.

…and the only easy access offer that pays 5%

Easy-access accounts that don’t require you to commit to saving regularly are more available to newcomers. This means they are less likely to reward loyalty.

Only one easy-access account exclusively for existing customers comes close to the market-leading rates: Barclays’ Rainy Day Saver.

It’s only available to Blue Rewards members and pays 5 per cent on balances up to £5,000. It costs £5 a month to become a Barclays Blue Rewards member.

If you saved £5,000 in this account, you would earn £251.34 in interest over a year.

Other higher-paying easy access accounts include Beehive Money Limited Issue Easy Access, which pays 5.1 percent. It is open to new and existing clients.