Chase has launched its inaugural regular savings account, featuring an Annual Equivalent Rate (AER) of 6.5%. This rate positions it as one of the top five regular savings deals currently available.
The account permits unlimited withdrawals and has a maximum monthly saving limit of £300. However, it is exclusively available to customers who also hold a Chase current account. After 12 months, the total balance, including earned interest, is transferred to another Chase account of the customer's choice, though the regular savings account remains open for new contributions.
While the 6.5% AER is appealing, other options exist. Santander, for instance, offers an 8% AER for the first year on its regular saver, which includes a 5% bonus rate. This rate is variable and can change, and it has a lower maximum monthly deposit limit of £200 compared to Chase's £300.
For those saving the maximum £300 monthly into the Chase account without withdrawals, a total of £3,600 would be saved over a year, earning £125.53 in interest. In comparison, if an individual had £3,600 available from the start and placed it into an instant-access account paying 5% AER, they could earn £54.47 more interest over 12 months.