The bank has increased the ‘enticing’ interest rates on three accounts, which is great news for savers.
The epidemic has taken a toll on savings accounts, but there is some good news on the horizon, as one provider has raised its interest rates.
Savings accounts are still popular among Britons because they allow them to grow their money; however, simple access accounts have grown less appealing because their flexibility typically comes at the expense of a good return rate. Instead, many people are considering putting at least some of their money into a savings account to help it grow. Experts recommend having three to six months’ worth of cash on hand in case of an emergency, but the remaining can be put into other preparations.
A fixed-term account is one such option, and RCI Bank offers one that is very inexpensive.
The interest rate on the provider’s two, three, and five year Fixed Term Accounts has been raised.
This applies to both new and existing customers in order to assist them in increasing their cash flow.
The two-year fix has been raised to 0.70 percent, the three-year fix has been raised to 0.85 percent, and the five-year fix has been raised to 1%.
RCI Bank’s Head of Savings, Tafari Smith, had something to say about it.
“We are glad to be able to enhance our interest rates on our two, three, and five year Fixed Term Accounts after a challenging year,” he stated.
“Since our inception six years ago, we’ve been dedicated to providing cheap pricing and straightforward products.
“According to our recent analysis, almost two-fifths of savers were able to increase their monthly savings by £174 throughout the pandemic.
“As things begin to normalize, it’s critical for savers to keep putting money aside.
“We believe that these increases will inspire more investors to think about the long run when it comes to financial planning and growing their savings.”
Anyone over the age of 18 who is a UK resident can open an RCI Bank account.
There is, however, a £1,000 minimum deposit amount that depositors must make into a Fixed Term Account.
Individuals can manage their accounts seven days a week by calling, going online, or using the RCI Bank app.
Moneyfacts’ Rachel Springall, a finance expert, provided additional insight into the adjustments.
“It’s fantastic to see RCI Bank UK improving their rates, and for savers wishing to supplement their income, these options may be appealing because they pay monthly interest and can be started with,” she said.