Sainsbury’s increases interest rate on Internet Saver account

Sainsbury's Finance has announced that all customers who took advantage of its special offer on its Internet Saver account between 14th April and 30th April will see their interest rate increase from 2% Gross AER to 2.6% Gross AER.

Furthermore, for the remainder of their 12 month special offer period Sainsbury's also promises to pay them at least 2% above the Bank of England base rate.

In addition to this, Sainsbury's Finance has announced that it is offering this rate of 2.6% Gross AER on its Internet Saver with the 2% above base rate guarantee to all customers who open an account between now and 8th June 2009. Balances must be between £5,000 and £100,000. If a withdrawal is made during the first 12 months of the account being opened, the interest rate reverts to the account's standard rate of interest, currently 0.75% Gross AER.

Sainsbury's Internet Saver account has achieved 'Moneyfacts - Trust It' status for offering a consistently good rate over 36 months. Analysis by Defaqto reveals that Sainsbury's Internet Saver is the only instant or easy access savings account generally available that has consistently paid a gross AER interest rate on a balance of £1 that is equal to or above the Bank of England base rate in each and every month since January 2005.

Helen Cook, Head of Savings at Sainsbury's Finance said: "We're beginning to see movement again in the savings market with increased competition and we wanted to make sure we responded to this by giving our customers a boost with a competitive instant access savings offer."

Sainsbury's Finance has its own banking licence, is separately regulated by the Financial Services Authority and has an independent membership to the Financial Services Compensation Scheme.

For more information, visit sainsburysfinance.co.uk