Telephone and digital-based bank first direct is currently offering a seven percent interest rate via its Regular Saver Account. This is one of the more favourable rates on the markets at a time when inflation is diminishing returns on savings accounts.
As well as this, a recent “market-leading” offer is giving new customers up to £205 for switching to first direct’s account with a seven percent interest rate.
This deal is being provided by the price comparison website USwitch.com and is accessible by visiting its Current Account page.
All qualifying customers who open a new savings account through the site will get £175 free cashback and £30 Amazon.co.uk gift card.
With the cashback deal and Amazon discount combined, new customers to first direct will be £205 better off.
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Cameron Jaques, current accounts expert at Uswitch.com, shared why cashback deals are great incentives for savers.
He explained: “With switching current accounts now an easy and pain-free process thanks to the Current Account Switch Service, banks are battling it out to attract new customers with special offers, including paying you to switch with free cashback.
“As the cost of living crisis continues to hit the nation’s pockets hard, the offer of free cash is already a tempting offer.
“But with an additional £30 Amazon.co.uk Gift card exclusively from Uswitch.com, this deal is not only the most attractive but also the best deal on the market right now.”
The savings expert highlighted why first direct, in particular, is the perfect bank for people to switch to.
Mr Jaaques added: “first direct has a fantastic reputation for customer service and access to additional perks such as a £250 interest-free overdraft and their seven percent AER/gross Regular Saver Account.
“So if you are in the market to switch your current account, this one might be the best deal to consider.”
Through the Regular Saver Account, first direct customers with the bank can deposit between £25 to £300 each month for a fixed 12-month period.
After this is carried out, savers will be given a fixed interest rate of seven percent for the account which they can place up to £3,600 in annually.
Hypothetically, if a customer deposits £300 every month for a year and qualifies for the seven percent rate, they will earn around £136.50 in interest.
Savers should be aware that first direct’s Regular Saver Account is only available to current account holders.
If someone chooses to close their savings account before the end of the 12-month period, first direct only pay them interest at their standard Savings Account variable rate.
It should be noted that Regular Saver Account holders will not be able to make partial withdrawals after they open the product.
This savings deal with first direct is available for existing first direct 1st Account customers only and people must switch to this product using the Current Account Switch Service or via USwitch to get the free cash.
As it stands, inflation is sitting at 10.1 percent which remains relatively higher than the current interest rate being offered by first direct.
Despite this, the bank’s current offering remains more competitive than its peers in the wider savings market.
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