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Screenshot of Lloyds Bank Savings Home Page

The fastest way to build up wealth and get out of the cycle of debt is by learning the discipline of saving. In order to do this effectively, consumers need more than just a transactional account. A separate savings account will allow them to grow their funds without the risk of using it for unnecessary purchases. In order for this to be effective, it’s important that this separate savings account doesn’t charge too much and is simple to operate. The Lloyds Bank Savings Accounts offer quite a variety for those who wish to put their pennies aside. This review delves a little deeper to find out whether it’s a good fit, compared to its global peers.

A bank that offers a sublime range of savings accounts is Credit Agricole.

About Lloyds Bank

Screenshot of History of Lloyds Bank

The bank was founded in 1765 and was more for those who found themselves in the mercantile and manufacturing industries. It soon became evident that other parts of the economy require access to banking services and with that, the service offering expanded. During the 18th century, the bank focused on growth and expansion and managed to take over 200 banks in a period of 50 years. It was soon one of the major banks in England.

Today, Lloyds is considered one of the major players in the banking sphere. Asset holdings alone puts the bank among some of the biggest in the world. Although the bank is considered a traditional bank, it does take modern banking practices into consideration. This allows them to capture a bigger portion of the market.

The full review on Lloyds Bank is also available.

Four Reasons Why Savings Accounts Are Worth the Effort

Savings accounts are still vital in the initial stages of building wealth. For consumers, the little time it takes to set up the account will go a long way when used correctly. Discover why savings accounts play such an important role in this phase.

Savings Accounts Are Simple and Easy to Operate

Savings accounts are often considered the entry level accounts of bigger banks and tend to be the starting point for many customers. Transactional savings allow customers access to a debit or ATM card in order to make the transacting a little easier. Furthermore, these accounts are often better priced than checking accounts.

There Are Different Options

Consumers are not merely restricted to a transactional savings account. There are also options to have savings accounts that merely allow consumers to park their funds for a period of time.

Savings Accounts Often Offer Competitive Interest Rates

The interest rate makes saving money a little more attractive, especially when these interest rates are favorable. There are also savings accounts that offer compounding interest, which allows the funds to grow even faster.

No Risk of Spending Funds Unnecessarily

Customers who have savings account separate from their main transactional account have a smaller chance of using these funds for other uses. By keeping the funds separate, the risk of temptation is dramatically reduced.

Lloyds Bank Savings Accounts Product Offerings

Screenshot of Some Savings Account Offerings

Help to Buy ISA

Consumers who still need to purchase their first home will find this savings incentive rewarding. It allows them to save towards this property tax-free. Furthermore, consumers may also qualify for a Government Help to Buy Scheme incentive of up to £3,000.

  • The account provides a tax-free, variable interest rate.
  • Customers can start off the account with between £1 and £1,000. Also, the funds need to reflect in the account within 21 days of account opening. The funds can be transferred from an existing ISA.
  • Furthermore, those from as young as 16 can apply for the account to start saving towards their first home.
  • This account is a cash ISA which means customers can’t add contributions to any other cash ISA in a tax year.
  • Customers can make monthly contributions of up to £200 and can be done through a standing order.
  • Two customers who wish to purchase a property together can have separate Help to Buy ISAs and both can claim their bonus.
  • The conveyancer can claim the bonus on the customer’s behalf.
  • There are certain restrictions to the bonus amount.
  • Customers can make unlimited withdrawals from this account. However, they won’t be able to claim the bonus on funds withdrawn.
  • Finally, customers have access to the account through online, branch, and phone banking.

Cash ISA Saver

Customers have access to an instant-access account that pays them a tax-free interest rate. Furthermore, the interest rate is variable and competitive.

  • The account can be opened with as little as £1.
  • There is an annual limit for new contributions and customers can’t pay more than this into a combination of accounts within the same tax year.
  • Customers receive their interest on 31 March each year and on the anniversary of the account opening.
  • The account will convert to an Instant Cash ISA after 12 months.
  • Furthermore, the account is flexible which allows customers to make withdrawals when needed.
  • Finally, customers have access to the account through online, branch, and phone banking.

Club Lloyds Saver

This is the ideal savings account for Club Lloyds customers. Furthermore, customers have instant access to their funds.

  • The interest rate is both variable and tiered. Customers earn higher interest on balances over £1,500.
  • Customers can open the account with as little as £1.
  • Furthermore, the account accepts unlimited deposits.
  • The account provides the option of monthly or annual interest payments.
  • Also, the account is exclusive to existing Club Lloyds current account customers.
  • After the initial 12 month period, the account converts to a Standard Saver.
  • Finally, customers have access to the account through online, branch, and phone banking.

Club Lloyds Monthly Saver

Customers who wish to contribute to their savings on a monthly basis will find this a suitable option. Also, the account is exclusive the Club Lloyds Current Account holders.

  • The account provides customers with instant access to their funds.
  • Customers enjoy a fixed interest rate for 12 months from account opening.
  • Furthermore, the account allows monthly contributions of £25 to £400 by standing order.
  • The interest is paid annually on the anniversary of the account.
  • After the initial 12-month period, the account converts to an Easy Saver Account.
  • Customers have access to the account online, through the branch or telephone banking.
  • Also, the account allows unlimited withdrawals but customers can’t replace any money they withdraw.
  • Finally, customers can only have on Club Lloyds Monthly Saver in their sole or joint names.

Fixed Rate Cash ISA – 2 Years

This option provides customers with tax-free interest if they put their money away for the 2-year term. Furthermore, the interest rate is fixed for the 2-year period.

  • Customers are restricted to a maximum annual limit of up to £20,000 for new contributions. Also, they can’t exceed this amount for any combination of permitted ISAs in the same year.
  • The account requires a minimum opening deposit of £3,000.
  • Furthermore, customers can choose to have their interest paid monthly or annually on the anniversary of the account opening.
  • Customers can also transfer an existing ISA.
  • The account provides access to online, branch, and phone banking channels.
  • Finally, customers who wish to make a withdrawal from the account may lose 189 days’ tax-free interest. This means they could end up with less than they deposited.

Junior Cash ISA

Children who are happy to put their funds away until they reach 18 should consider this account. Furthermore, the interest earned on this account is tax-free.

  • Customers enjoy a variable, tax-free interest rate.
  • The account can be opened with as little as £1.
  • These accounts have an annual deposit limit for new contributions. Furthermore, this is the limit across all the ISA combinations available for children.
  • Those who contribute to these accounts will have no future claims on the funds as these deposits are considered gifts.
  • Furthermore, the account can be opened online but management and viewing only take place in the branch.
  • There are special circumstances where the funds can be withdrawn, but terms and conditions apply.
  • Each child may only have one Junior Cash ISA.
  • Finally, those who are 16 or 17 and resident in the UK can open their own account.

Easy Saver

This is a simple saving account for those who may need access to their funds from time to time. Furthermore, customers enjoy a variable interest rate.

  • The account can be opened with as little as £1.
  • Customers are able to make unlimited deposits and withdrawals from the account.
  • Also, after 12 months the account will convert to a Standard Saver.
  • The account provides access via online, branch, and phone banking channels.
  • Finally, the account receives annual interest payments on the anniversary of the account. 

Monthly Saver

Customers who wish to earn fixed interest for a year will find this account suitable. Furthermore, they will still have instant access to their funds.

  • The account allows customers to save £25 to £250 per month by standing order.
  • Customers can only have one Monthly Saver in their sole name or held jointly.
  • Furthermore, the account is only available to Lloyds Bank current account customers.
  • Once the initial 12-month period is over, the account will automatically convert to an Easy Saver Account.
  • Customers have access to the account through online, branch, and phone banking.
  • Finally, although customers have unlimited access to withdrawals, they can’t replace the money they withdraw.

Fixed Bond 2 Years

Not only will customers receive a fixed interest rate for this account, but will also be secure in the knowledge that they can’t touch their funds for 2 years.

  • Customers have the choice to have their interest paid monthly or annually on the anniversary of the account opening.
  • The account requires a minimum opening deposit of £2,000.
  • Also, customers need to make their initial deposit within 10 days of opening the account.
  • Customers have access to the account via online, branch, and phone banking.
  • Withdrawals are not permitted on the account except in the event of death of the account holder.
  • Finally, the account will change to a Standard Saver after the 24-month period.

Online Fixed Bond 2 Years

Customers who like to do the majority of their transactions online should consider this account. Furthermore, this account offers a fixed interest rate.

  • Interest payments take place annually on the anniversary of the account opening.
  • The opening deposit is £2,000.
  • Furthermore, the initial deposit needs to be made within 10 days after opening the account.
  • Withdrawals or early closures are only permitted in the event of the death of the account holder.
  • Also, customers only have access to the account online.
  • Finally, after the initial 24-month period, the account will convert to a Standard Saver.

Young Saver

The ideal savings vehicle for those aged 15 or younger. Furthermore, customers have instant access to their funds.

  • Customers receive a higher interest rate on balances over £20,000.
  • The account allows an opening deposit of £1.
  • Customers receive their interest payments every quarter. 
  • Someone over the age of 18 opens the account for the child. They need to reside in the UK and have a current account with Lloyds. Also, the child must be 15 or under.
  • There is a limit to one Young Saver per child.
  • Customers can open the account online. Management of the account takes place in the branch.
  • Finally, customers make unlimited withdrawals in the branch.

Customers who prefer a straightforward transactional account should have a look at Lloyds Bank current accounts.

Critical Reviews Rating Lloyds Bank Savings Accounts – 9 of 10

Screenshot Additional Savings Information Lloyds Bank

A healthy mix of accounts for all ages, bar those who are in their golden years. We’ve had to shave a rating point off for that reason. We are also a little concerned that many of the accounts require a minimum deposit of £2,000. This could make the accounts inaccessible to a large group of customers. The remaining options are, however, satisfactory.

Lloyds Bank also offers a range of credit cards for those who need to satisfy their financial needs immediately.

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