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Savings round up - 20th March

Fixed rates continued to rebound with the market turmoil surrounding the banking sector.  We expect this to be shortlived, rather than a sustained uplift, so savers should take advantage. The Spring Budget offered little for most savers with no changes to allowances and only the extension of the Help To Save scheme for savers on Universal Credit of note.  While the target for NS&I was increased for their new financial year (starting 1st April), we feel that the rate rises already announced mean there will be no immediate changes there, unless rates in the market increase sharply. All eyes are now on Thursday's Base Rate announcement and, while the markets are now only pricing in a 60% chance of Base going to 4.25%, we are still sticking with our projection that we will see a 0.25% increase. Here's our round up of the best buys and key changes from the savings market:

Easy Access

Chip remain best buy at 3.40% but there's plenty of movement behind them.  Kroo Bank announced an increase to 3.33% - although this won't take effect until 1st April, existing savers will benefit from the enhanced rate.  Cynergy Bank and Paragon Bank both increased rates to 3.25% - the former includes a 0.15% bonus for 12 months while Paragon's rate is restricted to three withdrawals per year or a sharp drop in interest rate.  Al Rayan were also on the move, up to 3.22%, to move ahead of Zopa who stay at 3.21%.  The other Sharia provider, Gatehouse Bank, moved just behind increasing its rate to 3.20%.  Ford Money upped to 3.10%, which although not the highest rate, appeals to many savers because it only operates one easy access rate so all its savers benefit from every increase.  Coventry Building Society also pays 3.10% but limits withdrawals to six (before an interest penalty is applied).

Notice

Investec remain top with their 90 Day Notice paying a market leading 3.55% but have been joined by United Trust Bank, although their 3.55% requires 200 Days Notice. QIB increased their 95 Day Notice rate to 3.50% to move up to third.  Melton Building Society and Allica Bank both pay the same rate but want 180 Days Notice, although Allica do pay who pay 3.40% for 95 Days, as do Secure Trust Bank who want 120 Days Notice for their 3.50%.  Charter Savings Bank were the other notable mover, paying 3.45% for their 95 Day Notice, to move ahead of BLME at 3.44%.  Otherwise, all other notice accounts are beaten by the best easy access rates.

Up to 1 Year Fixed

isbank, Turkey's largest private bank, leads the way paying a huge 4.10% for 9 Months Fixed. They are ahead of QIB Bank who increased their 9 Month Fixed to 3.85% during the week. Monument Bank is the best 6 Month Fixed at 3.85%Brown Shipley pay 3.78% for 9 Months with Atom Bank next - both their 6 and 9 Month Fixed are paying 3.75%.

1 Year Fixed

Al Rayan Bank are the new leaders paying a huge 4.50% to move in to top spot.  Fellow Sharia provider, Gatehouse, were also on the move - up to 4.35% - to move ahead of SmartSave at 4.34%, themselves just ahead of DF Capital at 4.33%.  There's a three way tie for fifth with Ahli United Bank paying 4.32% alongside GB Bank and OakNorth. Monument Bank are next at 4.31% ahead of Atom, Close Brothers and Hodge at 4.30%. 

18 Month Fixed

Al Rayan still lead the way on 18 Months but now pay 4.57%, up 0.20% on last week.  OakNorth Bank are next paying 4.40% on 18 Months and 4.36% on 15 Months to sandwich Gatehouse Bank (4.37% for 18 Months).  United Trust Bank were another riser - paying 4.35% for 15 Months - to move ahead of Charter Savings Bank at 4.30% via Hargreaves LansdownHampshire Trust Bank complete the top seven at 4.20%.

2 Year Fixed

Al Rayan remain top but now pay 4.62% for the privilege.   OakNorth have joined Smart Save at 4.46%, both ahead of a three way tie at 4.45%, which is paid by Atom, Close Brothers and Vanquis Banks. Charter Savings Bank pay 4.40% on Hargreaves Lansdown Active Savings and direct, as do Allica Bank, Gatehouse Bank and Hodge.  There's several providers at 4.35%, including Hampshire Trust Bank.

3 Year Fixed 

Al Rayan complete a clean sweep of 1-3 Year with a best buy of 4.68%. They are well clear of OakNorth and SmartSave at 4.51%, who both pip Tandem Bank at 4.50%. There's a three way tie at 4.45% with Atom Bank, Close Brothers and Vanquis tied.

4 Year Fixed

OakNorth are the new leaders at 4.52% with SmartSave at 4.41% and United Trust and Gatehouse Bank tied for third at 4.40%. There's much better value on 3 and 5 Year Fixed though for savers to look any further.

5 Year Fixed 

Tandem Bank lead the way at 4.60%, which is available via Raisin and direct. OakNorth have moved up to second paying 4.53% to move ahead of Monument Bank at 4.51% and isbank (via Raisin) at 4.50%.  Hampshire Trust Bank are next at 4.45% alongside Atom Bank with Close Brothers and United Trust Bank.

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