Nationwide launches Champion Saver account

Nationwide Building Society today, Monday 3 August 2009, launches its Champion Saver account, offering savers a market leading rate of up to 2.80% gross p.a./AER - over five times better than the Bank of England Base Rate. This includes a fixed introductory bonus of 1.10% gross p.a. until 31 January 2011 for balances of £1,000 or more, helping savers make the most of their money in a low interest rate environment.

Champion Saver is the first savings account of its kind on the high street and promises to provide great value because the interest rate is determined by the average of the top five branch-based instant access, limited access and notice accounts from key competitors1. Every month, Nationwide will use an independent organisation, Moneyfacts, to check a basket of competitors' top paying rates and will update its Champion Saver interest rate accordingly.

Unlike the majority of providers, and to further reaffirm its commitment to savers, Nationwide will write to customers to remind them when their introductory bonus is due to end.

Champion Saver's fixed introductory bonus of 1.10% gross p.a. will boost savers' returns at a time when the Bank of England Base Rate is at an historic low of 0.50%. Even without the introductory bonus, Champion Saver is competitive because other providers' introductory bonuses are included when calculating Champion Saver's core rate. Champion Saver's bonus is then added on top to offer a rate that is currently 2.30% higher than the Bank of England Base Rate with the bonus and 1.20% higher without the bonus.

Andy Hutchinson, Nationwide's head of savings, said: "The launch of the Champion Saver account is great news for those looking for an account that will pay a competitive rate month after month. With the account paying a fantastic interest rate at launch - over five times above the Bank of England Base Rate - Champion Saver really is market leading in the high street and is specifically designed to help savers in this low interest rate environment. As the interest rate is determined by the average of the top five from our basket of eight high street providers, customers can rest assured that they will receive great long term value without the need for checking interest rates themselves.

"To help savers manage their money more effectively, we will write to customers when their introductory bonuses are due to end."

The minimum opening investment of Champion Saver is £1,000 and savers can access their money by giving 60 days' notice or losing 60 days' interest.