Start to Save (Issue 2) is an instant access, regular savings account paying an interest rate of five percent AER/gross p.a. (variable) for 24 months. It allows people to save up to £50 per month.
Savers need to increase their balance by at least £25 (but by no more than £50) in each of the six months leading up to a prize draw to be in with a chance of winning.
The interest is worked out daily and then paid into one’s account yearly on each anniversary of their account opening.
Based on 24 monthly deposits of £25 totalling £600, the estimated balance after the 24-month term would be £631.66.
Start to Save (Issue 2) also includes prize draws to reward members saving regularly, each offering savers the chance to win £250, with two further prize draws due to take place.
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According to research from the Money and Pensions Service (MaPS), nine million people across the UK have no savings and another five million have less than £100.
The Society launched Start to Save in a bid to encourage people to put some money away when they can.
In February, more than 900 savers won the £250 in the prize draw.
Around 917 members shared the prize fund of £229,250.
Tom Riley, Director of Retail Products at Nationwide Building Society, said: “Start to Save was first set up with the aim of encouraging those who could save, but who hadn’t done so before, to get into a savings habit.
“So, even with the current cost of living challenges facing many, it’s encouraging to see that there are people that have been able to build up rainy day funds and we’re delighted that we’ve been able to boost the savings pot of more than 900 members with an extra £250 through our prize draw.”
People can open an account in their name or jointly with one other person.
They can do so on nationwide.co.uk or on the Internet Bank or Banking app (if they’re registered).
