Ford Money raises interest on two savings accounts to more ‘competitive’ rates | Personal Finance | Finance

Ford Money has boosted the interest on two savings accounts to offer the “most competitive” rates possible.

The Ford Money one-year and two-year fixed savers are now boasting rates of 5.95 percent and 6.05 percent, respectively.

Ford Money commented: “We have taken this action as part of our routine practice of regularly reviewing our product portfolio and positioning within the wider savings market, as well as our current deposit-taking needs.       

“All changes at Ford Money are made to ensure we’re offering customers the most appropriate and competitive accounts possible at any given time in the market.”     

The rate rises became effective on Thursday, July 13, and applies to new and existing customers.

Fixed Saver One Year – 5.95 percent

Ford Money’s Fixed Saver One Year is now offering an Annual Equivalent Rate (AER) of 5.95 percent, up from 5.8 percent.

Fixed rate savings accounts work well for longer-term savers, as it means the bank or building society can’t change the interest rate until the end of the term – adding another layer of certainty to saving.

The account can be opened with a minimum deposit of £500 and interest is calculated daily and paid monthly or annually.

Savers must be aged 16 or over, the account can be launched online, and up to £2million can be invested overall. Withdrawals are, however, not permitted during the term.

Fixed Saver Two Year – 6.05 percent

Ford Money’s Fixed Saver Two Year is now offering an AER of 6.05 percent, up from 5.8 percent.

The account can be opened by those aged 16 or over with a minimum deposit of £500. Interest is calculated daily and paid monthly or annually, and withdrawals are also not permitted throughout the term.

But while Ford Money may be offering more competitive rates for both accounts, these aren’t currently topping the tables.

For both one and two-year fixed term accounts, FirstSave is coming out on top with AER of 6.1 percent and 6.15 percent respectively.

Interest is calculated daily and can be paid annually or monthly, and savers can open either account with a minimum deposit of £1,000. Up to £2million can be invested overall and withdrawals are not permitted during the specified terms.