Nationwide has announced some of its customers will be getting a boost to their bank accounts ahead of major changes from February. The building has announced a number of interest rate changes on its savings accounts.
This will impact how much money customers make on their savings. Customers who stand to benefit are those who have a Branch Single Access account.
The rate is rising from 2.8% to 3.55% from February, allowing savers to earn more cash when interest is applied. For example, people with £5,000 in their account would get an extra £37 in annual interest if the money was left untouched.
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Nationwide also confirmed the very healthy 6.5% rate on its popular Flex Regular Saver would remain frozen. This only allows savers to put away up to £200 a month for a year.
Interest rates will be cut on a number of other savings accounts, however, so customers who use these may want to shop around for better deals elsewhere. The building society will slash rates by between 0.10% and 0.16% on 89 of its variable rate easy and instant access savings and cash ISA products.
It will also cut rates on 55 non-ISA savings accounts, with the majority affected being easy-access. Tom Riley, Nationwide’s director of retail products, said: “We have worked hard to limit the impact of the recent rate cut on our savers and have taken the decision to hold rates on some of our most popular accounts, such as our leading Flex Regular Saver.
“Following these changes, our savings range will remain competitive. We returned a record £950million in member financial benefit in the first half of this year and we’ll continue to give savers every reason to put their money with Nationwide.”