Best savings accounts for over-50s: Banks paying interest rates over 6 percent

Experts have highlighted the best instant access savings accounts for over-50s which offer favourable interest rates.

The best instant-access savings accounts for over-50s provide an easy way for older adults to earn interest on their savings.

One of the main purposes of an instant access savings account is to make the process of paying in and withdrawing money as quick and easy as possible.

Once someone has chosen an account, they’ll open it by making an initial minimum deposit. This is often as little as 1p or £1 but could be as much as £5,000 in some cases.

As the Bank of England tries to tame rising inflation, the base rate has seen its 14th consecutive rise.

Now sitting at 5.25 percent, savers are urged to find providers who have passed these rate rises on to their bank accounts.

Experts at Lottie have compiled the best instant access savings accounts for over-50s currently on the market.

The best account for someone will depend on their individual circumstances.

It is important to check out things like the interest rate, minimum and maximum balance and account access for each option.

Their top picks are as follows:

Chip Instant Access Account

The Chip Instant Access Account takes top spot with an impressive 4.51 percent (variable).

This interest is paid every month. People can also deposit and withdraw near instantly, making this account a really efficient one for people aged 50 and over to use.

Interest rate: 4.51 percent AER variable
Minimum and maximum balance: £1 to £250,000
Account access: App
Protection scheme: FSCS Protected

Leeds Building Society Limited Issue Online Access Account

If someone wants to access their money at any time and would prefer to manage their savings online while also benefitting from a high interest rate, this instant access savings account from the Leeds Building Society is “a great choice”.

Interest rate: 4.40 percent AER variable
Minimum and maximum balance: £1,000 to £1,000,000
Account access: Website
Protection scheme: FSCS Protected

Hampshire Trust Bank Online Easy Access Account

Interest is paid annually on this easy access account from the Hampshire Trust Bank. An account can be opened and managed online, and unlimited withdrawals can also be made.

Over-50s opt for this account who would like quick access to their money at any point, while also being able to make regular deposits.

Interest rate: 4.40 percent AER variable
Minimum and maximum balance: £1 to £250,000
Account access: Website
Protection scheme: FSCS Protected

Ford Money Flexible Saver

There are lots of benefits for those over 50 who open a flexible saver account through Ford Money. They will have a higher interest rate than most other options on the market, while interest can be paid monthly or yearly.

People can also open multiple accounts (joint accounts are available as well) and create savings goals to give you something to work towards.

Interest rate: 4.35 percent AER variable
Minimum and maximum balance: £1 to £2,000,000
Account access: Website
Protection scheme: FSCS Protected

Paragon Bank Triple Access Savings Account

Britons can make up to three withdrawals every 12 months before their interest rate is impacted. From the fourth withdrawal onwards, the interest rate of the triple access savings account from Paragon falls from 4.25 percent to 1.50 percent.

Over-50s can pick between monthly or annual interest payments. They can make unlimited deposits, while an account can be opened using as little as £1.

Interest rate: 4.25 percent AER variable
Minimum and maximum balance: £1 to £500,000
Account access: Website
Protection scheme: FSCS Protected

Post Office Money Online Saver

This instant access over-50s savings account from Post Office Money has a 4.25 percent interest rate for the first 12 months. This then drops to 1.43 percent, making it “an excellent short-term option”.

Yorkshire Building Society Internet Saver Plus

An internet saver plus account can be opened through the Yorkshire Building Society after an initial deposit of just £1 or more. The maximum balance can be up to £500,000, meaning plenty of saving potential for over-50s.

The interest rate is 4.25 percent and is paid out annually. The account can be managed online.

Aldermore Double Access Account

Over-50s will benefit from a higher interest rate - 4.20 percent AER - when making one or two withdrawals per year. If they make three or more withdrawals, this annual interest rate falls to one percent.

Other savings accounts to consider include:

Notice savings account with 5.15 percent interest from Cynergy Bank
Fixed rate savings account (one year or two years) with 6.01 percent interest from Smart Save
Fixed rate savings account with six percent interest from Investec

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