E-Saver Accounts - UK Guide

E-saver accounts are ideal for those who want to manage their money from the comfort of their own home or who find it difficult to get to a bank. Accounts can be opened with as little as £1 with some accounts and some offer access to your funds with no notice required. The interest paid on these accounts is a competitive rate of around 2.5% (AER) and this is subject to tax.

It is possible to achieve higher rates of interest with e-saver accounts but they tend to insist on having a notice period before any funds are drawn upon. These are available in a variety of term accounts commonly 30 days, 60 days, 120 days or even longer with some companies. The longer you agree to leave the funds untouched the higher the rate of interest, in most cases. If funds are drawn upon before the agreed term the interest is automatically lost.

When making a withdrawal from the account it is a normal to transfer them to a current account which then allows access via a bank, ATM or transaction.

For those people who like the personal banking service this account is most definitely not suitable.