Cheshire and Derbyshire Building Societies reward regular saving

From today, the Cheshire and Derbyshire Building Societies are launching new issues of the Platinum Monthly Saver, a competitive account aimed at savers looking to build up a nest egg by putting money aside on a regular basis.

Platinum Monthly Saver is a fixed-term, branch-based account paying a competitive rate of 5% gross p.a./AER (variable) until 31 July 2013.

Customers can pay in between £100 and £500 a month over the term of the account either by cash, cheque or standing order. Provided the saver makes no more than one withdrawal and misses no more than one monthly deposit between opening the account and 31 July 2013, they will earn 5% gross p.a./AER. If more than one withdrawal is made, more than one monthly deposit is missed or the account is closed during the term, a lower rate of 1% gross p.a./AER will be paid. Withdrawals and closure of the account are also permitted without notice.

At the end of the fixed term, the account will automatically revert to an instant access account paying a variable rate of 1% gross p.a./AER with no restrictions on deposits or withdrawals. Each Society will write to customers in advance to notify them that their fixed term is coming to an end.

Matthew Wyles, Nationwide's Group Distribution Director, said:  "With the Bank of England base rate at 0.50%, this product pays ten times more to those customers who are willing to commit to a regular subscription.  By any measure, in the current environment, 5% is a great rate."