This comparison simply includes all savings accounts.
Interest Rates On Current Accounts
Why we like it: Interest paid annually. Unlimited deposits and withdrawals. Open and manage online. FSCS Protected. Must be UK resident and be aged 18 or older
Why we like it: Instant access to your savings. Unlimited deposits and withdrawals. Interest paid monthly, either to a linked current account, or adding it to your Online Flexi Saver account. Easy application process, you just need a UK mobile phone and UK driving licence or passport. Manage account online. Maximum balance £250,000. Must be aged 18 or older and have a UK address. Must have a linked UK current account. Your eligible deposits with Investec Bank are protected up to a total of £85,000 by the Financial Services Compensation Scheme (FSCS)
Why we like it: Which? Recommended Savings Provider. No notice period. Deposit from £100. Interest paid monthly or annually. Apply in minutes. Your eligible deposits with RCI Bank UK Limited are protected up to a total of £85,000 by the Financial Services. Compensation Scheme (FSCS)
Why we like it: Unlimited payments and withdrawals. Interest paid annually. Open in a single or a joint name. Maximum deposit £250,000. FSCS Protected. Winner of Platinum Feefo Trusted Service Award in 2024. Must be UK resident and be aged 18 or older
Why we like it: Interest calculated monthly. Unlimited deposits and withdrawals. Open and manage online. FSCS Protected. Must retain a minimum balance of £20,000 in the account. Must be UK resident and be aged 18 or older
Why we like it: All funds deposited into the RCI Bank E-Volve Savings 14 Day Notice Account will be used to fund pure electric vehicles and charging facilities. Interest paid monthly or annually. Manage account online. UK-based support, seven days a week. Which? Recommended Savings Provider. Unlimited withdrawals subject to 14 days notice. Must be UK resident. Must be aged 18 or older. Your eligible deposits with RCI Bank UK Limited are protected up to a total of £85,000 by the Financial Services Compensation Scheme (FSCS)
Why we like it: The interest rate tracks the Bank of England (BoE) Base Rate. Interest is calculated on the minimum daily balance and applied to the account on the first day of every subsequent month. Open and manage account online. Your eligible deposits are protected up to £85,000 by the Financial Services Compensation Scheme. The maximum deposit you may pay into any one OakNorth Account is £500,000. The maximum amount (excluding the interest) that you will be allowed to hold on deposit with OakNorth Bank across multiple accounts is also £500,000. Unlimited withdrawals, subject to 95 days notice. Available to individuals, aged 18 or over, who are UK residents
Why we like it: Unlimited deposits and withdrawals. Interest paid monthly: can be added to your Notice Saver or paid to your linked account. Easy application process, you just need a UK mobile phone and UK driving licence or passport. Manage account online. Maximum balance £250,000. Withdrawals subject to 90 days notice. Must be aged 18 or older and have a UK address. Must have a linked UK current account
Why we like it: 3 penalty-free withdrawals in a 12 month period. 3.82% AER (variable tracker) + 0.68% AER 12 month boost. 3.75% gross variable tracker. Interest paid monthly. Deposit and withdraw almost instantly. No fees or charges for holding account. FSCS eligible on your deposits. After 3 withdrawals within a 12 month period the rate will revert to either 3.40% AER (variable tracker with boost applied) or 2.72% AER (variable tracker) for the remainder of the 12 month period since opening the account. Must be UK resident. Must be aged 18 or older
Why we like it: 9 month term, minimum deposit £1,000, no withdrawals permitted. FSCS Protected
Why we like it: Interest paid on maturity. Automatic repayment to your linked account. Maximum deposit £250,000. FSCS Protected. Must have a UK residential address and be aged 18 or older. No withdrawals permitted
Why we like it: 1 year term, minimum deposit £1,000, no withdrawals permitted. FSCS Protected
Switching current accounts to get a better interest rate
Different current accounts can pay significantly different rates of interest, so it is worth checking to see if the account you have right now compares favourably to the market leaders. It is also sensible to compare other features and benefits, such as cashback as these can add up.
If you do decide to switch, it is good to know that you will most likely be able to take advantage of the Current Account Switch Service. This is a free service which will transfer any money in your account, plus all of your existing payments in and out of your old account to your new account.
This means it is fast, simple and hassle-free to move your current account to a new provider in order to benefit from better interest rates and other benefits.
What current account interest rates mean
When comparing current accounts, you should look at both the interest rate they pay when you are in credit and the interest rate they charge when you go into your overdraft. Which current account will be best for you is likely to depend on whether you tend to be in credit or in your overdraft on a regular basis.
When comparing interest rates that current accounts pay, you will normally see them quoted as a certain percentage “AER”. AER stands for Annual Equivalent Rate and is the amount of interest you would earn if the interest was taken annually. However, in reality most current accounts pay interest monthly.
Find the best interest rates on current accounts
When looking at changing your current account to find a better rate of interest, you need to compare what’s on offer from the widest range of banks and building societies possible. The free current account comparison tool at the top of the page makes this quick and easy to do.
The following three accounts offer some of the most attractive interest rates available right now:
Santander 123 Current Account
Interest rate: 1.50% AER/1.49% gross (variable) on balances up to £20,000.
Account fee: £5 per month.
Other benefits: 1-3% cashback on various household bills, including payments on a Santander mortgage or insurance policy. You must deposit at least £500 a month into the account and have two active Direct Debits to qualify.
TSB Classic Plus Account
Interest rate: 3% AER paid monthly on a balance of up to £1,500.
Account fee: None, but you must pay in at least £500 a month to earn interest.
Other benefits: Earn £5 per month cashback when you have at least two Direct Debits from the account, plus another £5 in any month where you use your debit card at least 20 times.
Nationwide FlexDirect Current Account
Interest rate: 5% AER (4.89% gross p.a.) interest on balances up to £2,500 for the first 12 months with this account. After this the interest drops to 1% gross p.a./AER (variable).
Account fee: No account fee, but you must deposit a minimum of £1,000 a month to earn interest.
Other benefits: Fee-free overdraft for 12 months (for customers over 18 and subject to approval).
