Coventry Building Society has unveiled a new savings account offering a market-leading interest rate of six per cent as an early Christmas present to the financial institution’s loyal members.
The Loyalty Seasonal Saver account aims to encourage new savings habits in 2025 and is exclusively available to customers who have been with Coventry since at least January 1, 2024.
The 12-month account is designed to help members build their savings throughout the year, with a focus on providing financial flexibility during the festive period. Members can start their savings journey with just £1, and there’s no requirement to save every month, offering maximum flexibility for savers.
To support festive spending, the account will remove its 30-day interest withdrawal charge at the start of November 2025, allowing penalty-free access to funds. Savers can deposit up to £250 each month into the account, with the potential to earn significant returns over the year.
For those who maximise their monthly deposits, the total savings with interest could reach £3,097.89 after 12 months. Savers are being encouraged to lock in competitive deals following the Bank of England’s decision to hold the base rate earlier this week.
Do you have a money story you’d like to share? Get in touch by emailing money@gbnews.uk.
Coventry Building Society has launched a new six per cent interest rate
COVENTRY BUILDING SOCIETY
Bethaney Cozens, the savings product manager at Coventry Building Society, shared why the high street lender’s customers should take advantage of this deal before it is withdrawn.
“Saving now can help protect against future financial surprises and provide peace of mind, especially after high spending during the holiday season,” the savings expert said.
“The new Loyalty Seasonal Saver offers a regular saver market leading interest rate, making it an ideal option for members who can set aside small amounts throughout 2025 to use during next year’s festive period.”
This particular account features a variable interest rate of six per cent and can be opened through multiple channels, including online, in branch, over the phone or by post.
Cozens emphasised the importance of building regular saving habits in the New Year, even with modest amounts, and reminded Britons to set themselves up with a “financial cushion” to weather tough financial times.
“This account is designed to encourage regular saving, helping people save for specific goals or as a fallback during a time when finances can feel stretched,” she explained.
“While we understand that not everyone can save every month of the year, putting aside even small amounts consistently can make a significant difference, offering a financial cushion for next year’s celebrations and giving members the flexibility to withdraw funds without charge to spend on themselves or gifts for others.”
It should be noted the savings account will mature into an Easy Access Saver (7), offering a variable rate of 2.65 per cent with unlimited withdrawals following the 12-month period.
For those who don’t qualify for the Loyalty Seasonal Saver, Coventry Building Society offers an alternative option. The Regular Saver (6) account is available to all new and existing customers with a competitive rate of 4.75 per cent.
This account allows for flexible monthly deposits of up to £500, with no minimum deposit requirement. Customers can open the Regular Saver (6) through multiple channels, including branch, online, post, or phone.
LATEST DEVELOPMENTS:
Unlike some savings accounts, there’s no need for a linked account to qualify for the Regular Saver (6). British savers have benefited from the Bank of England’s decision to raise interest rates in recent years.
The central bank’s Monetary Policy Committee (MPC) has voted to raise the base rate to 5.25 per cent in its fight to ease inflation. With the consumer price index (CPI) rate easing in recent months, the Bank has slashed rates to 4.75 per cent.
As such, high street banks and building societies are more likely to offer competitive deals by passing on this bolstered rate to their savings customers. However, analysts have warned that savers could be hit by “shifting rates” in 2025.
