This comparison simply includes all savings accounts.
Savings Accounts For Students
Why we like it: No notice period. Deposit from £100. Interest paid monthly or annually. Apply in minutes. Your eligible deposits with RCI Bank UK Limited are protected up to a total of £85,000 by the Financial Services Compensation Scheme (FSCS)
Why we like it: Earn 1.00% gross/AER on balances from £1,000 to £1 million. Unlimited withdrawals without restriction or loss of interest.
Why we like it: Unlimited withdrawals subject to 30 days notice.
Why we like it: Minimum deposit £500. Transfer in ISAs held elsewhere - no limit. Eligible deposits covered by UK FSCS.
Why we like it: Interest paid at annually. Minimum deposit £1,000, maximum £2,000,000. No withdrawals permitted. FSCS Protected
Why we like it: Interest paid at annually. Minimum deposit £1,000, maximum £2,000,000. No withdrawals permitted. FSCS Protected
Why we like it: Interest paid at annually. Minimum deposit £1,000, maximum £2,000,000. No withdrawals permitted. FSCS Protected
Why we like it: Minimum deposit £1,000 - No withdrawals permitted - FSCS Protected
Why we like it: Minimum deposit £1,000 - No withdrawals permitted - FSCS Protected
Why we like it: Why we like it: Up to £250 cashback for new investors.1, 3 or 5 year fixed term. Invest from £100 up to £20,000 this tax year (2018/19) and/or transfer in from an existing Cash ISA, Stocks & Shares ISA or IFISA. Secured by UK property. No platform or investment fees. Interest paid annually. Returns are not guaranteed and your actual returns may vary. Capital is at risk
Disclaimer: When making a peer to business loan, your capital lent to a borrower is not covered in the event of loss by the FSCS
Why we like it: Why we like it: Up to £250 cashback for new investors.1, 3 or 5 year fixed term. Invest from £100 up to £20,000 this tax year (2018/19) and/or transfer in from an existing Cash ISA, Stocks & Shares ISA or IFISA. Secured by UK property. No platform or investment fees. Interest paid annually. Returns are not guaranteed and your actual returns may vary. Capital is at risk
Disclaimer: When making a peer to business loan, your capital lent to a borrower is not covered in the event of loss by the FSCS
Why we like it: Why we like it: Up to £250 cashback for new investors.1, 3 or 5 year fixed term. Invest from £100 up to £20,000 this tax year (2018/19) and/or transfer in from an existing Cash ISA, Stocks & Shares ISA or IFISA. Secured by UK property. No platform or investment fees. Interest paid annually. Returns are not guaranteed and your actual returns may vary. Capital is at risk
Disclaimer: When making a peer to business loan, your capital lent to a borrower is not covered in the event of loss by the FSCS
Compare Savings Accounts For Students
When putting your money into a savings account, you need to consider how long you intend to save for and how much of a return you would like to see. You can then compare the different types of savings accounts available to see which ones best match you saving goals. for the best savings accounts as a student see the table above.
Although it can be difficult to start saving as a student, the importance of putting money into your savings at an early age cannot be understated.
Throughout university you will receive student loans, bursaries, grants or additional support; if you can spare any amount of this money to add to your savings, it may open up opportunities in the future.
Building your savings throughout university may allow you to travel upon graduation or give you some breathing room whilst you look for employment.
You could look to use a combination of the savings options below to stay flexible and get competitive rates of interest.
Current Accounts
Current accounts generally offer the best rates of interest for smaller sums of money. However, if you go over your account’s interest limit, your remaining balance will likely earn you nothing.
To get the best deal, you may have to shop around and be willing to transfer your current account to a new provider. It’s also worth bearing in mind that some current accounts offer a better interest rate during an introductory period which then drops dramatically once that period is over.
Instant Access Savings Accounts
This type of account allows you to earn interest on your savings while still giving quick access to your money when necessary. Some instant access accounts come with a card that lets you draw money out at cash points, others require you to take money out in branch or transfer it to a current account online or by phone.
Please be aware there may be a limit on how many withdrawals you can make per year without losing some of your interest.
Due to the nature of a student’s financial position, an instant access account could be the best fit for student savings. Although the interest rate is not the best on the market, an instant access account allows you to make a withdrawal from your savings when you need it, allowing you to survive when money is tight.
Easy Access Savings Accounts
Essentially the same as instant access accounts, except there may be a few days' delay when you wish to take money out. This is to allow withdrawal and transfer requests to be processed.
Some providers also refer to their instant access accounts as easy access accounts.
Notice Savings Accounts
These are similar to easy access and instant access savings accounts, except you have to give a certain amount of notice before removing funds. Common notice periods range from 40-95 days. The longer the notice period you are willing to give, the higher the interest rate you will usually receive.
Regular Savings Accounts
If you want to put away a little bit of money each month over a longer period, a regular savings account is likely to be the best choice. This kind of account usually requires you to deposit a minimum amount each month and will normally specify a maximum you can put in each month as well. There may also be a limit on how many withdrawals you can make each year.
Regular savings accounts often offer very attractive rates of interest, but it is important to note that, because you are only slowly building up capital, your initial yearly returns may be modest. This means that, while they can be used for short term savings, regular savings accounts are usually a better choice for longer term savings.
Fixed Rate Bonds
Fixed rate bonds tend to offer attractive rates of interest which will be guaranteed for the life of the bond (typically 1-5 years). The caveat here is that you cannot usually take money out of the bond until it matures (i.e. reaches the end of the fixed interest period).
This means most fixed rate bonds are not ideal for short term savings, although some providers do offer fixed rate bonds with terms as short as 3 months which may be worth considering.
Unless you are confident that you will not need to touch your savings, a fixed rate bond may not be the best option as a student.
Cash ISAs
UK tax payers normally have to pay tax on any interest they earn on their savings. However, a cash ISA allows you to earn interest, tax-free, on deposits up to an agreed yearly limit. For the 2017/18 tax year that amount is £20,000.
There are two main types of cash ISAs – instant access and fixed-term. Instant access cash ISAs allow you to withdraw money whenever you need without paying a penalty, making them ideal for short term saving. Fixed-term cash ISAs have similar conditions to fixed rate bonds, so you may be unable to withdraw money until they reach the end of their term or have to pay a penalty in order to do so.
Cash ISAs do not always offer the best interest rates, so you will need to assess whether any tax savings will outweigh the benefits of the higher interest rates provides by other types of accounts.
A cash ISA may be the best option for you if you receive a significant amount of money. For example, if you receive a bursary that you do not need to use in the near future, you could put the money away and receive tax-free interest.
Find the best savings account for students
With so many different brands and products on the market, it can be hard to figure out which offer the best deals for you. The comparison table at the top of this page is regularly updated with the most attractive deals on short term savings accounts from across the industry. This makes it easy for you to contrast the features of different accounts for students find the right one for your saving needs.
