Bonus Savings Account
A cash bonus - for doing nothing
Because dipping into your savings can be tempting, our Bonus Savings Account rewards you for establishing virtuous saving habits. Every month you don't make a withdrawal, we'll give you a bonus rate of 0.60% AER/gross variable on balances up to £25,000. Don't worry - you can still get at your money if you need to, but for that month the interest will only be 0.10% AER/gross. Knowing this should be just enough to curb the temptation...
- bonus rate applies for every calendar month you don't make a withdrawal
- instant access if you need it by an internal transfer to your first direct Current Account
- earn the higher interest rate on balances up to £25,000
- start saving from £1, no maximum limit
- sole accounts only and one account per person.
AER stands for Annual Equivalent Rate. This shows you what the rate would be if interest were paid and compounded each year.
Gross is the rate of interest if interest were paid and not compounded each year.
Summary and key product information
Account name |
Bonus Savings Account
|
What is the interest rate? |
| Balance |
Interest Rate
With Bonus |
Interest Rate
Without Bonus |
Under £25,000Balance
| 0.60% AER (0.60% Gross)Interest Rate, With Bonus |
0.10% AER (0.10% Gross)Interest Rate, Without Bonus |
£25,000 +Balance
| 0.30% AER (0.30% Gross)Interest Rate, With Bonus |
0.10% AER (0.10% Gross)Interest Rate, Without Bonus |
Interest is calculated daily and credited monthly.
Bonus interest is not paid in any calendar month where a withdrawal is made or the account is closed.
Bonus interest is paid in any month where a withdrawl is not made or the account not closed.
Balances up to £25,000 will earn the higher rate of interest. Only the part of the balance above £25,000 will earn the lower rate of interest.
|
Can first direct change the interest rate? |
Yes, we can change the interest rate on this account in line with the account's Terms and Conditions.
|
What would the estimated balance be after 12 months based on a range of deposits? |
| Initial Deposit |
Rate |
Interest Rate |
Balance at end of 12 months |
£1,000Initial Deposit
| With bonusRate |
0.60% AER (0.60% Gross)Interest Rate |
£1,006Balance at end of 12 months |
£35,000Initial Deposit
| With bonusRate |
0.60% AER (0.60% Gross) on first £25,000 then 0.30% AER (0.30% Gross) on any balance above £25,000.Interest Rate |
£35,180Balance at end of 12 months |
£1,000Initial Deposit
| Without bonusRate |
0.10% AER (0.10% Gross)Interest Rate |
£1,001.00Balance at end of 12 months |
£35,000Initial Deposit
| Without bonusRate |
0.10% AER (0.10% Gross) on the whole balance.Interest Rate |
£35,035Balance at end of 12 months |
For the purpose of these calculations, it is assumed:-
- initial deposit of £1,000 and £35,000
- no additional deposits
- the interest rate remains the same during the 12 months
- the with bonus calculation assumes no withdrawals are made in any of the 12 months
- the without bonus calculation assumes a withdrawal is made in each of the 12 months.
Projection provided for illustrative purposes only and does not take into account individual circumstances.
|
How do I open & manage my account? |
Eligibility:
- you must hold a first direct 1st Account, our current account
- this account can only be opened in sole names
- only one account per person permitted.
How to open the account:
- open an account via Online banking or Phone Banking.
Minimum/Maximum Balance:
- a minimum of £1 must be deposited to open an account
- there is no maximum balance.
How to manage the account:
- once opened you can manage your account via Online Banking, Phone Banking or by post.
|
Can I withdraw money? |
You have instant access to your account. You can make as many withdrawals as you like however, remember that for any month you do make a withdrawal you will receive a lower rate of interest (currently 0.10% AER/Gross).
|
Additional Information |
A 14 day cancellation period applies to this account.
We do not deduct tax from any interest paid to you.
Tax benefits depend on individual circumstances and could change in the future.
Definitions
* AER stands for Annual Equivalent Rate. This shows you what the gross rate would be if interest were paid and compounded each year.
* Gross is the rate of interest if interest were paid and not compounded each year.
Rates correct as at 22 January 2019
|
New to first direct
Sorry - our Bonus Savings Account is only available to first direct Current Account customers (you're more than welcome to join us...)
More about our current account
Before you apply
Before applying, please have a read through the following.
