Nationwide increases Champion Saver rate

Nationwide Building Society has announced that the interest rate of its Champion Saver account will increase to 2.69% gross p.a/AER for balances over £1,000 from 1 January 2010.

This is good news for savers, particularly in the current low interest rate environment. The key feature of Champion Saver is that it tracks the average rate offered by the top five paying branch based instant access, limited access and notice accounts from a basket of eight key High Street competitors, plus a fixed bonus of 1.10% gross p.a. until 31 January 2011 to give savings an extra boost.  If the rates from the top five competitors change the Champion Saver rate changes accordingly, so Nationwide savers can be sure they will always receive a competitive rate for their savings.

Even without the introductory bonus, Champion Saver is competitive because other providers' introductory bonuses are included when calculating Champion Saver's core interest rate.  Champion Saver's bonus is then added on top, to offer a rate that is currently 2.19% higher than the Bank of England Base Rate with the bonus and 1.09% higher without the bonus.

Andy Hutchinson, Nationwide's head of savings, said: "Champion Saver offers peace of mind to customers who don't want to have to keep looking around for the best rates, as it takes care of this for them, by researching the best savings rates from key providers.  The fact that Champion Saver's rate has increased is good news for savers, especially in a climate where the Bank of England Base Rate remains so low."

To further reaffirm its commitment to savers, Nationwide will write to customers to remind them when their introductory bonus is due to end.

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Saver is £1,000 and savers can access their money by giving 60 days' notice or losing 60 days' interest on the amount withdrawn.

For more information, visit nationwide.co.uk.