Nationwide has announced a new issue of its Regular Saver account that pays customers a market-leading rate of 8% interest on their savings balance. The savings account is only available to existing Nationwide customers but those who do not currently bank with Nationwide can still open a Regular Saver by switching to a Nationwide current account. In doing so, new customers can also benefit from a £200 cash bonus just for making the switch.
Nationwide is the latest high street bank to offer a savings account with a rate over 6%, others include First Direct which currently offers existing customers a fixed rate of 7% on their savings. You can compare some of the best savings rates in our Regular Saver best buy table or in our article, 'Best savings accounts in the UK'.
In this article, we look at how Nationwide's Regular Saver works, how to open a Nationwide Regular Saver and how it compares to other savings accounts. For more information on the £200 switching offer with Nationwide, click here.
What is Nationwide's Regular Saver?
Nationwide's Regular Saver is a 12-month term savings account that pays 8.00% interest. You can deposit a maximum of £200 into the account each month but you do not have to make a deposit every month if you do not want to. After the 12-month term, the account changes to an instant access savings account. The interest rate is variable, however, which means that Nationwide can increase or decrease it at any time. It is worth noting that First Direct's 7.00% Regular Saver has a fixed rate of interest that will not change throughout the account term, although you cannot withdraw your money during this time.
The Nationwide Regular Saver account is only open to Nationwide current account holders but you can switch to the bank if you wish to open a Regular Saver. The Regular Saver can be opened and managed online or via the Nationwide banking app. You can access your money throughout the term but if you make 4 or more withdrawals then your interest rate drops to 2.15% for the remaining term.
Nationwide Regular Saver key points
- Savers can earn up to 8% on their savings balance
- Can save a maximum of £200 a month
- Can make 3 withdrawals penalty-free
- If you make 4 or more withdrawals the interest rate will drop to 2.15% for the remaining term
- For existing Nationwide current account holders only (although new customers can switch to the bank and receive a £200 cash bonus)
- The account can only be opened or managed online or via the banking app
- Interest is calculated daily and paid on the anniversary of account opening
- Money must be paid into the account within 28 days or the account will be closed
How to open a Nationwide Regular Saver
If you want to open a Nationwide Regular Saver you have to be an existing Nationwide customer and hold a current account. If you are not currently a Nationwide customer, you can, however, switch and get a £200 cash bonus for doing so.
You need to be aged 16 or over, a UK resident and have a valid email address to open a Regular Saver with Nationwide. You also need to be able to manage this account online. If you no longer hold a Nationwide current account at any point throughout the 12-month Regular Saver term, Nationwide may transfer the money to a Nationwide instant access savings account.
The Regular Saver can be opened solely or jointly and only one account holder needs to have a Nationwide current account in order to open it jointly.
Alternatives to Nationwide's Regular Saver
In the following comparison table, we compare Nationwide's Regular Saver to the best regular savings accounts on the market right now. For a regular update of the best Regular Savers, bookmark our savings best buy table. If you are interested in other savings accounts that may be better suited to your circumstances, bookmark our article, 'Best savings accounts in the UK'.
Regular Savings accounts - a comparison
|Nationwide||First Direct||Lloyds Bank||The Tipton & Coseley Building Society||NatWest|
|Account name||Flex Regular Saver Issue 2||Regular Saver Account||Club Lloyds Monthly Saver||Fixed Rate Regular Saver until 31.10.2024||Digital Regular Saver|
|Minimum opening balance||£200||£25||£1||£25||£1|
|Minimum required per month||No minimum||£25||£25||£25||£1|
|Maximum allowed per month||£200||£300||£400||£250||£150|
|How to apply||Mobile, Online||Mobile, Online||Branch, Mobile, Online, Telephone||Branch, Post||Mobile, Online|
|Do you need to hold a current account with the bank?|
|Summary||Can make up to 3 withdrawals from the account. If make 4 or more withdrawals the interest rate drops to 2.15% for the remaining term.||Can carry over the unused allowance each month.||Must have a Club Lloyds account which requires a minimum monthly deposit or £3 monthly fee. Account is easy access.||No withdrawals until the account matures.||6.17% AER interest on your first £5,000, 1.75% on amounts over £5,000.|
|FSCS Protection||Own Licence||Shared Licence with HSBC||Own Licence||Own Licence||Own Licence|
(Source: SavingsChampion.co.uk Correct as of 21/09/23)