Banks are boosting interest paid to savers following this month’s rise in official lending rates, taking the best deal for three-year bank deposits to 3 per cent for the first time in almost a decade.
Following last week’s increase in the Bank of England base rate, smaller lenders that generally lead the market have jacked up the rates paid to savers, with the Buckinghamshire Building Society raising the annual interest on its three-year fixed-rate bond to 3 per cent, according to data from rates monitors Savings Champion and Moneyfacts.
Deposit-takers have this week taken the top rates paid on two-year deposits to a shade below 3 per cent, with Allica Bank offering 2.96 per cent and DF Capital 2.95 per cent.
Distribution Finance Capital Holdings plc (LON:DFCH) is UK specialist commercial lending and personal savings bank. From straightforward savings to practical finance solutions, our aim is to help customers manage and grow their business or savings. Founded as a specialist commercial lender in 2016, DF Capital was authorised as a bank in September 2020.