Natwest bank offers the attractive rate in an effort to help its customers kick start their saving habits. Britons can put as little as £1 in the account to open it and must commit to putting in an amount every calender month. People can also only put a maximum of £150 in the account every month.
This includes a person’s standing order and any extra money they put in. If a person puts extra in they will have it automatically transferred back into their other account.
If people continue to break this rule then Natwest will give them 60 days to close the account.
However, a person’s monthly “round-ups” don’t count towards the £150 limit.
This means people could put in extra if they wanted.
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Once the goal of £1,000 is reached the interest rate drops significantly to 0.3 percent.
The rate will remain at this level until the goal of £5,000 is reached.
Once here, the rate will drop once again to 0.2 percent.
All of these are flexible rates, meaning the bank can change the rate up or down when they want to.
If people commit to putting £150 in each month it will only take them seven months to reach their first saving goal.
If people save the full amount in this time then the interest earned in the first year will be worth around £25.16.
Natwest’s easy access savings account allows people to withdraw their cash if they want to without any penalty.
This means it could double up as a savings account and somewhere to keep an emergency fund safe while gaining some interest.
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To apply for the Digital Regular Saver, savers must be aged 16 or over, and a UK resident.
People can only open one of these regular savers if they have a Natwest or RBS current account.
There’s also only one per person, which means people can’t get another, even as a joint account.
However, the same account is offered by both Natwest and RBS.
The account can be opened either online or through the NatWest mobile app.
It can be managed in similar ways, as well as in branch or by telephone.
Savers will need to provide their email address and mobile number for the account to be opened and to receive important account documents.
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