Yahoo Finance Easy-access savings rates reach 10-month high of 1.25pc
The rates of the top easy-access accounts have been creeping up over the last few weeks and savers can now earn 1.25pc on their cash.
Such a return has been unattainable for almost a year.
Back in August last year, Shawbrook Bank offered 1.25pc while RCI Bank, the French provider, paid 1.45pc. But these were shortlived, according to Moneyfacts, the data firm.
Now a new account from Ulster Bank, the Northern Ireland arm of the Royal Bank of Scotland group, has given the easy-access market a boost with new account that pays 1.25pc.
It's a significant improvement on the 0.05pc previously offered by Ulster and pushes the bank ahead of competition. Kent Reliance offers the next best rate of 1.15pc.
Savers in Northern Ireland can also open the account in one of 55 Ulster Bank branches.
While Ulster's new easy-rate is bound to appeal to savers, it could prove awkward to open for those based in Great Britain if they need to verify their identification.
The eSavings account can be applied for and managed online - which Ulster Bank claims can be done within minutes - providing customers can supply passport and debit card details, which are checked electronically.
However, if identification documents cannot be verified in this way, customers will have to upload a picture of their ID, such as passport or driving licence. In this case, the account will be opened in a few days.
Ulster Bank said where a customer's identity is more difficult to confirm, it may ask for further information, which could include taking their documents to a local NatWest or Royal Bank of Scotland branch. The banks will then take certified copies which will be sent to Ulster Bank. Once documents are received the account is opened within days.
Ulster said it only expects a very small minority of customers to need to do this.
Customers are able to make withdrawals from the Ulster eSavings account or make additional deposits by online transfer, on the mobile app or using telephone banking.
June has seen a number of providers increase the rates of their easy-access accounts including Charter Savings Bank, Kent Reliance and this week, Bank of Cyprus UK.
Tom Adams, from Savings Champion, the independent savings advice site, said this points towards a positive trend which will hopefully encourage more providers to aim for the top spot or make improvements to their rates.
See here for our favourite easy-access savings accounts.
