Latest news with #FlexDirect
The Sun
6 days ago
- Business
- The Sun
Halifax to make huge change to bank account used by thousands and it'll reward them with free cash
HALIFAX is making a huge change to a popular bank account used by thousands of customers. The retail bank is introducing credit interest on Reward Current Account balances from October 1. 1 This update means account holders can now earn cash rewards simply by maintaining a balance in their account. Halifax will pay interest on balances between £1 and £5,000, with two tiers of rates available. You'll earn 1% AER on balances between £1 and £3,999.99, while balances between £4,000 and £5,000 will attract a higher rate of 3% AER. For example, if you kept £2,000 in the account at all times, you would earn £30 in interest per year at the 1.5% AER. Meanwhile, if you kept £4,500 in the account, you would earn £60 on the first £4,000, with 1.5% AER applied. The remaining £500 would earn 3% AER, giving £15 in interest. In total, you would earn £75 per year. However, you won't earn any interest on balances above £5,000. The Reward Current Account carries a £3 monthly fee, which is waived if you deposit at least £1,500 each month. To qualify for credit interest payments from October, you'll also need to set up and pay out two separate direct debits each month in order to access the benefits. The Reward Current Account offers additional benefits, including fee-free spending abroad. Customers can also earn up to 15% cashback at selected retailers through Halifax's Cashback Extras programme. Halifax isn't the only bank offering credit interest on account deposits. Nationwide's FlexDirect account offers 5% APR on balances up to £1,500, while Santander's Edge Up account pays 2.5% on balances up to £25,000. The average bank customer has around £10,000 in savings, according to Raisin. With this in mind the average customer could still actually earn more interest by shopping around elsewhere. If your savings account pays less than the current inflation rate of 3.6%, it's time to look for a better deal. Plus, the Bank of England is expected to cut its base rate from 4.25% to 4% next week, which could make savings rates even lower. The base rate affects how much banks pay savers - when it drops, interest on savings usually goes down too. How this affects your savings depends on the type of account you have. Fixed-rate accounts won't change, but easy-access accounts can see their rates drop at any time. What types of savings accounts are available? THERE are four types of savings accounts: fixed, notice, easy access, and regular savers. Separately, there are ISAs or individual savings accounts which allow individuals to save up to £20,000 a year tax-free. But we've rounded up the main types of conventional savings accounts below. FIXED-RATE A fixed-rate savings account or fixed-rate bond offers some of the highest interest rates but comes at the cost of being unable to withdraw your cash within the agreed term. This means that your money is locked in, so even if interest rates increase you are unable to move your money and switch to a better account. Some providers give the option to withdraw, but it comes with a hefty fee. NOTICE Notice accounts offer slightly lower rates in exchange for more flexibility when accessing your cash. These accounts don't lock your cash away for as long as a typical fixed bond account. You'll need to give advance notice to your bank - up to 180 days in some cases - before you can make a withdrawal or you'll lose the interest. EASY-ACCESS An easy-access account does what it says on the tin and usually allows unlimited cash withdrawals. These accounts tend to offer lower returns, but they are a good option if you want the freedom to move your money without being charged a penalty fee. REGULAR SAVER These accounts pay some of the best returns as long as you pay in a set amount each month. You'll usually need to hold a current account with providers to access the best rates. However, if you have a lot of money to save, these accounts often come with monthly deposit limits. To help you get the best returns, we've listed the top savings rates for each account type below. What's on offer? If you're looking for a savings account without withdrawal limitations, then you'll want to opt for an easy-access saver. These do what they say on the tin and usually allow for unlimited cash withdrawals. The best easy access savings account available is from Cahoot, which pays 5% - and you only need to pay a minimum of £1 to set it up. This means that if you were to save £1,000 in this account, you would earn £50 a year in interest. Meanwhile, Oxbury Bank's easy access account offers customers 4.61% back on savings worth £1 or more. If you're okay with being less flexible about withdrawals, a top notice account could be a great option. These accounts offer better rates than easy-access accounts but still let you access your money more flexibly than a a fixed-bond. RCI Bank UK's 95 day notice account offers savers 4.7% back with a minimum £1,000 deposit, for example. This means that if you were to save £1,000 in this account, you would earn £47 a year in interest. Meanwhile, Oxbury Bank's 120-day notice account offers 4.65%, requiring a minimum deposit of £1,000. If you want to lock your money away and keep the same savings rate for a set time, a fixed bond is a good choice. The best fixed rate currently offered is Castle Community Bank's one-year fixed bond, which pays 4.52%, requiring a minimum deposit of £1,000. Meanwhile, GB Bank's one-year fixed bond offers 4.5% back on a deposit of £1 or more. This means that if you were to save £1,000 in this account, you would earn £45 a year in interest. If you want to build a habit of saving a set amount of money each month, a regular savings account could pay you dividends. Principality Building Society's Six Month Regular Saver offers 7.5% interest on savings. It allows customers to save between £1 and £200 a month. Save in the maximum, and you'll earn 25.81 in interest. While regular savings accounts look attractive due to the high interest rates on offer, they are not right for all savers. You can't use a regular savings account to earn interest on a lump sum. The amount you can save into the account each month will be limited, typically to somewhere between £200 and £500. Therefore, if you have more to save, it would be wise to consider one of the other accounts mentioned above. How can I find the best savings rates? WITH your current savings rates in mind, don't waste time looking at individual banking sites to compare rates - it'll take you an eternity. Research price comparison websites such as Compare the Market, and MoneySupermarket. These will help you save you time and show you the best rates available. They also let you tailor your searches to an account type that suits you. As a benchmark, you'll want to consider any account that currently pays more interest than the current level of inflation - 3.4%. It's always wise to have some money stashed inside an easy-access savings account to ensure you have quick access to cash to deal with any emergencies like a boiler repair, for example. If you're saving for a long-term goal, then consider locking some of your savings inside a fixed bond, as these usually come with the highest savings rates.
Daily Mirror
08-07-2025
- Business
- Daily Mirror
Halifax update on interest rates cut for savings account
A customer contacted Halifax after receiving a letter about the change Halifax has alerted customers about a key letter going out to savers about a change to their accounts. A confused customer reached out to the bank after receiving a notification in the banking app about a letter they had been sent. The letter made referred to their bonus saver scheme "ending soon", and also had some information about an instant saver account. To clear up the confusion, Halifax said in response: "After 12 months the account changes to an instant saver." The Bonus Saver offers a 3.05 percent interest rate across a 12-month term. This rate applies provided you make no more than three withdrawals during the 12-month span. Making four or more withdrawals results in the interest rate plummeting to 0.95%. The interest for this account is paid monthly, on the same day the account was opened. To open the account, you only have to deposit £1 and you can put in up to £9 million. Nevertheless, once you reach the end of the 12 months, the account becomes an instant saver, offering a significantly lower interest rate of just 1.35%, meaning a reduction in your interest rate of 1.7%. Moreover, those with a Bonus Saver should be aware that the interest rate is variable, so Halifax can change it at any point. The Halifax website provides this guidance: "We'll always let you know of any planned changes to the rate. "Our account conditions explain when and how we do this. For example, we might change it if it costs us more to run this account for you." The account can be managed online, through the app, in branch or over the phone. If you open the account and decide later on you don't want it, you can cancel the account free of charge within 30 days of opening. Halifax customers with an easy access savings account have the option to renew it into a bonus saver without needing to open a new account. In other savings news, customers with Nationwide Building Society may want to note they have just days left to take advantage of a £200 switch offer. Existing members can get the bonus cash when switching from non-Nationwide account to a new or existing FlexPlus, FlexDirect or FlexAccount account. The offer is available until Thursday, July 10. You can check if you qualify using the checker tool on the Nationwide website.
Wales Online
08-07-2025
- Business
- Wales Online
Halifax explains '12 month' rule on savings after customer questions
Halifax explains '12 month' rule on savings after customer questions A customer contacted Halifax after receiving a letter about the account change Halifax has explained the rules for one of its savings accounts (Image: Getty ) Halifax has provided clarity for its customers about an important change to many savings accounts. The issue came to light after customer asked the bank to explain a letter they had received. The letter mentioned that their bonus saver was "ending soon" and mentioned an instant saver account. Halifax clarified the situation by stating: "After 12 months the account changes to an instant saver." The Bonus Saver account pays 3.05 percent interest over a 12-month period. This is as long as you make no more than three withdrawals are within that year. Exceeding this limit by making four or more withdrawals means the interest rate drop significantly to 0.95%. Interest on the Bonus Saver is paid out monthly, coinciding with the date the account was opened. The account can be started with a mere £1 deposit and allows for up to £9 million to be added. However, at the end of the 12-month term, the account transitions to an instant saver, which comes with a much lower interest rate of 1.35%, equating to a decrease in the interest rate of 1.7%. Bonus Saver account holders may also want to take note that the interest rate is subject to change as it is variable. Article continues below This means Halifax can alter it at any time. The bank says on its website: "We'll always let you know of any planned changes to the rate. "Our account conditions explain when and how we do this. For example, we might change it if it costs us more to run this account for you." The account can be managed online, via the app, in branch or over the phone. If you open the account and later decide it's not for you, you can cancel the account free of charge within 30 days of opening. Halifax customers with an easy access savings account have the option to convert it into a bonus saver without needing to open a new account. Article continues below In other banking news, Nationwide Building Society customers may want to act now as they only have a few days left to take advantage of a £200 switch offer. Existing members can receive the bonus cash when switching from a non-Nationwide account to a new or existing FlexPlus, FlexDirect or FlexAccount account. The offer is available until Thursday, July 10. You can check your eligibility using the checker tool on the Nationwide website.
Western Telegraph
09-06-2025
- Business
- Western Telegraph
Nationwide confirms some members will receive a free £200
The bank has delivered "Fairer Share" payments in recent years, and there's been anticipation from members about whether they'd be getting the cash in 2025. Nationwide confirmed that more than four million customers will each receive £100 in Fairer Share payments. The £100 will land in eligible current accounts from June 18 to July 4. To qualify, members must use Nationwide for their "everyday banking" and have an eligible savings or mortgage product with them. Whether you want to speak to a real person in branch, or do your banking online, there are many ways you can bank with us. If you need support, get in touch: — Nationwide (@AskNationwide) January 2, 2025 And those who have missed out, and did not have their main current account with Nationwide as of March 31, could get their hands on a free £200 boost by taking up a switching offer. Those who do not have their main current account with Nationwide can take advantage of a £200 Member Exclusive Current Account Online Switch Offer. Existing customers who decide to switch their main bank account to Nationwide will get the cash if they carry out a full online switch to a new or existing FlexPlus, FlexDirect, or FlexAccount. Recommended reading: It's important to note that this switch must involve shutting down the old account You'll also need to transfer at least two Direct Debits, complete the switch within 28 days, and deposit a minimum of £1,000 and make one debit card transaction within 31 days of opening the new account, or initiating the switch to an existing one. Nationwide added: "You can only get this offer if you're switching into a sole or joint account that hasn't had one of our switch offers since 2021."
Glasgow Times
07-06-2025
- Business
- Glasgow Times
Nationwide confirms some members will receive a free £200
The bank has delivered "Fairer Share" payments in recent years, and there's been anticipation from members about whether they'd be getting the cash in 2025. Nationwide confirmed that more than four million customers will each receive £100 in Fairer Share payments. The £100 will land in eligible current accounts from June 18 to July 4. To qualify, members must use Nationwide for their "everyday banking" and have an eligible savings or mortgage product with them. Whether you want to speak to a real person in branch, or do your banking online, there are many ways you can bank with us. If you need support, get in touch: — Nationwide (@AskNationwide) January 2, 2025 And those who have missed out, and did not have their main current account with Nationwide as of March 31, could get their hands on a free £200 boost by taking up a switching offer. Those who do not have their main current account with Nationwide can take advantage of a £200 Member Exclusive Current Account Online Switch Offer. Existing customers who decide to switch their main bank account to Nationwide will get the cash if they carry out a full online switch to a new or existing FlexPlus, FlexDirect, or FlexAccount. Recommended reading: It's important to note that this switch must involve shutting down the old account You'll also need to transfer at least two Direct Debits, complete the switch within 28 days, and deposit a minimum of £1,000 and make one debit card transaction within 31 days of opening the new account, or initiating the switch to an existing one. Nationwide added: "You can only get this offer if you're switching into a sole or joint account that hasn't had one of our switch offers since 2021."
