Banks compete to raise savings rates
Interest rates for savers are beginning to rise slowly, as the Royal Bank of Scotland (RBS) has launched a new deal paying 1.5pc interest.
The RBS “savings builder” account lets customers withdraw cash at any time. It pays 1.5pc in interest on savings up to £10,000, provided customers pay in at least £50 a month.
Customers can open the account online, in branches and by telephone and can access it using a mobile app. It comes weeks after Goldman Sachs’ consumer arm, Marcus, launched a market-leading savings deal also paying 1.5pc interest.
However, the Marcus deal has fewer conditions. Marcus savers can open an account with £1, and pay in whatever they like up to £250,000.
An RBS spokesman said the timing of the new account was not meant to copy Marcus.