Top online deal edges up to 1.02 pc

ONLINE easy- access rates have started to edge up as new banks and building societies fight for our business.

Nottingham Building Society’s new E-Saver Instant issue 6 pays a top 1.02 pc. There is no bonus payable to boost the rate, so it shouldn’t drop to a pittance after a year or so.

And there are no restrictions on the number of withdrawals you can make each year.

French-owned RCI Bank raised the rate on its Freedom account to 1.02 pc last week.

Leeds BS pays 1 pc on its Limited Access Online Saver. However, this comes with a high minimum investment of £5,000 and the account only runs until January 2 next year.

At this point, Leeds BS will move your money into an instant access maturity account, which is likely to pay a lower rate.

Swedish-owned Ikano Bank launched its first easy-access account at the tailend of last week at a rate of 0.8 pc with no bonus or withdrawal restrictions.

And Sainsbury’s Bank re-opened its eSaver Special at 0.6 pc on £1,000 or 0.75 pc on higher balances of £10,000.

Each easy- access account has different terms and conditions: some have a bonus that only lasts a year, while others restrict the number of withdrawals you make.

When looking at a new account, start with the ‘summary box’ online or ask for one in the branch.

This spells out the basic details, so you can pick one to suit your needs.