- Nationwide has launched a savings account for members paying 5.5%
- The account has a duration of 18 months and no money can be withdrawn before it ends.
- We look at how it compares to other fixed rate accounts.
Nationwide Building Society has launched an 18-month fixed rate account paying 5.5 per cent.
The new ‘Members Exclusive Bonus’ is only available to Nationwide members.
The bill was revealed in the mutual’s final results today, along with Nationwide’s £100 ‘Fairer Share’ payment and a £200 member change bonus.
This is now the best fixed rate savings bond on the market, beating the leading 18 month and one year fixed rate accounts with a £10,000 deposit.
Best of the best? Nationwide has launched an 18-month fixed rate savings account exclusively for members with a rate of 5.5%
Approximately 16 million people will be able to obtain this savings account, in a sign that Nationwide will reward members for their loyalty and retain them as members.
The account can be opened online, through internet banking, on the Nationwide mobile app or in a branch.
To obtain the account, members must have had a Nationwide checking account, savings account or mortgage account on May 22, 2024 and at the time of applying.
However, the biggest drawback is that the most a saver can deposit into this account is £10,000. A saver who keeps this amount in the account would earn £840.81 in interest at the end of the term.
This account now ranks first for an 18-month fixed rate account in This is Money’s best buy tables.
The next best deal is United Trust Bank’s 18-month bond, which pays 5 percent.
The best one-year fixed rate bond pays 5.2 percent and is offered by Access Bank. A saver who deposits £10,000 into this account would earn £532.57 at the end of the term.
Savers will not be able to withdraw money from the Nationwide account until the 18-month period ends. Interest is paid annually on the anniversary of account opening and maturity.
Andrew Hagger of MoneyComm,s said: ‘It is the highest fixed rate bond on the market at 5.5 per cent for 18 months.
‘It’s a nice added benefit for loyal Nationwide customers, although I’m sure some would have liked to see a higher maximum balance than the £10,000 on offer.
“Combined with the £100 fairer share payment being made for the second year in a row, the overall loyalty package should help deter people from switching from Nationwide to a rival supplier in search of a “hello” cash payment. golden”.
> This is exclusive to Money: Earn 5.78% interest with this 365-day notice account that beats the best one-year solutions
