Some new and existing Nationwide banking customers could be some £800 better off by moving money into a new account – and keeping it there.
The world’s largest building society has just launched new issues of its Fixed Rate Online Bonds, Fixed Rate Branch Bonds and Fixed Rate Cash ISAs. The Bonds can be opened via the Nationwide website, Internet Bank, in branch, or on the app, while the ISA can be opened via the Internet Bank, Banking app or in branch.
Savers who put their cash into any of these accounts will receive 4% interest, provided they leave the money alone for a period of two years. With the average amount held in a UK savings account currently standing at £9,633.30, according to Raisin, this would mean a total of £800.94 in interest after the 24 months are up.
All you have to do is leave your money in the account and not make any withdrawals over the year. Nationwide said the above rates are available on balances of £1 or more.
Those who opt to save in the cash ISA will receive their interest tax-free. Terms and conditions apply across all three accounts.
The announcement of the new rates comes after an earlier Nationwide alert this week, encouraging people to ensure they have adequate travel insurance. As well as urging people to make sure they take out a policy before going on holiday, Nationwide encouraged people to make sure existing policies be upgraded where needed, and that all medical conditions where declared.
This is because the average cost of a declined travel insurance claim is around £1,200.
Marta Edwards, Head of Current Accounts at Nationwide, said: “As we enter a busy period for booking holidays, people should ensure they have the right insurance in place once their holiday is booked. As our research shows, many people risk travelling without any cover and, while they will hopefully not need it, it can be an expensive gamble.
“Nationwide’s FlexPlus current account provides worldwide family travel insurance as one of its perks and we would encourage customers to talk to us about any upgrades they might need and any pre-existing conditions they have to ensure that their cover is appropriate.”
