NatWest Group PLC (LSE:NWG), Banco Santander (LSE:BNC) and Metro Bank Holdings PLC (LSE:MTRO) are offering some of the best, inflation-busting rates on savings accounts at over 5%, according to tracking websites.
Given these are now into their second month outdoing inflation, which subsided to 3.9% on Wednesday, analysts have told savers to take advantage while they can.
“It’s vital that consumers strike while the iron is hot to secure the most favourable deal,” Moneyfacts spokesperson James Hyde said.
“Last month saw the return of inflation-beating savings accounts after two years and this latest drop means there are significantly more available now.”
Metro’s offer of 5.22% on an easy-access savings account was cited as one of the best deals by analysts following Wednesday’s inflation reading for November.
However, such an account requires a minimum deposit of £500, with MoneySavingExpert also highlighting Metro’s recent financial struggles.
NatWest-owned Ulster requires an even larger £5,000 deposit but offers interest at 5.2% for those able to open such an account.
Santander’s Cahoot is also among banks offering rates far above inflation, at 5.1%, alongside the likes of Beehive Money and Leeds Building Society.
“Challenger banks continue to dominate the top positions in the charts,” according to Hyde.
“However, their readiness to pull popular products once funding targets have been reached can lead to a great deal of variation,” he added.
Higher rates can indeed be found yet, with notice accounts and fixed-rate bonds offering as much as 5.5%.
Vanquis Bank will grant such a rate given savers are prepared to lock funds away for at least ninety days before regaining access. A minimum deposit of £1,000 is also needed.
Hampshire Trust Bank’s six-month bond comes with a fixed rate of 5.48% meanwhile, asking for a minimum of just £1 in return as a deposit.