Alliance & Leicester internet savings account at 6.5%

Monday, 19 November 2007 12:00

Alliance & Leicester has launched a new online savings account paying 6.5 per cent AER (6.31 per cent gross).

The eSaver is open for balances between £1 and £75,000 and pays interest monthly.

The account is aimed at those saving a lump sum for the longer term, or for those who want a monthly income from their savings, not savers who regularly dip into savings.

Monthly interest payments are lost for any month in which a withdrawal made.

Ross Dalzell, manager for Savings at Alliance & Leicester, said: "eSaver is designed like an old fashioned piggy bank - you can put money in whenever you like, but it is not for those who want to dip into their savings.

"This account pays a higher rate of interest on the basis that you are putting the money away for the longer term - but provides you with the comfort of knowing you can access it, if you really need it."

Mr Dalzell went on to suggest Alliance & Leicester's PlusSaver, which currently pays six per cent gross/AER, as more suitable for those needing access to savings on a regular basis - or having two savings accounts for different purposes.

"Having two accounts enables you to get the best of both worlds. You can maximise the interest while you build up a bigger nest egg in eSaver, whilst being able to dip into PlusSaver whenever you want without losing any interest," he said.

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