Santander launches ‘top of market’ easy access savings account paying 5.20 per cent

Customers can deposit money as often as they like and can withdraw their funds without any fees or restrictions.

If savers have £5,000 deposited in the account, they will typically earn £21.66 in interest every month and £260 annually.

Customers don’t need to have other Santander accounts to open the new account.

It can be opened online, in app, over the phone or in branch.

The account is available from now until September 17, although Santander warns it may be withdrawn sooner if there is high demand.

Any Santander customer with an existing Easy Access Saver can also open an Easy Access Saver Limited Edition (Issue 3) account and benefit from the higher rate.

Santander has also increased rates on its fixed term ISA products.

The one year fixed ISA now pays 5.05 per cent AER/gross and the two year fixed ISA pays 5.10 per cent AER/gross.

Andrea Melville, director of current accounts, savings and business banking at Santander said: “We’re pleased to deliver this top of market product for our customers, providing the convenience of an easy access account, to help build up their savings.

“We know now more than ever people want their money to go further and this account is one of the ways we are helping customers maximise their savings income.”

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The Easy Access Saver Limited Edition (Issue 3) launch is the latest move by Santander this summer to increase its savings rates across a range of products.

Santander’s full range of savings products, which can all be opened online or in branch, are:

• Santander Edge Saver (7.00 per cent AER/6.78 per cent gross for 12 months)
• Easy Access Saver Limited Edition (Issue 3) (5.20 per cent AER/5.08 per cent gross for 12 months)
• Fixed rate ISA (5.05 per cent - 5.10 per cent AER/tax-free depending on term length)
• Regular Saver (5.00 per cent AER/gross for 12 months)
• Easy Access ISA (3.20 per cent AER/tax-free variable for 12 months)