To ask you all about savings accounts please?

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AIBU to ask you all about savings accounts please?

I’m able to save around £170 per month at the moment.

One option would be to put the £170 monthly in a savings account linked to my current bank account with HSBC, but the interest is a bit rubbish (0.05%).

I also a look on Martin Lewis’s website to find out which savings accounts he recommended, but all the ones I could see ask for at least £500 to be paid in per month, and I wouldn’t be able to pay in that much for now.

Does anyone know what the best option would be for investing or saving £170 per month please?

Thanks :)

HSBC have a regular saver which you can put up to £250 a month into, me and DH have one each and you get 5% if you have an advance or premier account which is pretty good!

If you have a mortgage you could use that 170 to over pay each month.

Check the money saving supermarket mortgage overpay calculator to see if it is worth while for 170.

We over pay 499 and it will save us about 45k in interest

(not exactly what you were looking for but might be an option worth exploring)

A standing order to a new current account (but only use it for saving). We get 5% APR on our Nationwide flex direct card and I do this with our monthly savings :)

Thanks Crawford :)

Virgin Money do a regular saver which pays 2.25% interest, and you can pay £25 to £250 per month. You can withdraw the money without penalty if you need to.

And thanks PurpleRobe and Omg :)

And Teri :)

We have Halifax savings accounts which are 5% interest but you have to pay £1,000 in per month. On 1st of the month I transfer £1,000 & then transfer £500 back out.

So I get the good rate by fudging the system slightly

Yes, it's usually allowed to pay a certain amount in (say £500) and then transfer most of it straight back out again. I used to do that with a TSB account and the branch manager confirmed that it was fine.

Check first, obviously.

Nationwide also do a 5% one, for a regular saving...."up to" £250 a month.
Quite a lot of the banks - including 'supermarket' ones - have accounts advertised as 'current accounts' which actually pay more interest. A lot want your salary, but, (if you earn that much) you can have your £1000, or £1500 or whatever their requirement is go in and then come out on the same day, or the next day. The only criteria is '£X amount being paid in each month. I think Tesco don't have that requirement (certainly didn't a couple of years ago when I found it).

YANBU.

yy to the HSBC regular saver. Max monthly payment is £250. I “upgraded” current account to advance (no monthly fees) for higher interest rate.