Online Bank Accounts – UK

On its website ingdirect.co.uk ING Direct is currently offering its online savings account with the following features:

• variable rate is of AER 0.50% (Gross p.a. 0.50%) on deposits of £1 and over
• new ING Direct Savings Account customers will get 3.00% AER variable (gross p.a. 2.96%) for 12 months from account opening. This is a limited offer. The variable rate is 0.50% AER
• interest is calculated daily and credited to the saver’s account on the last day of each month
• savers can move their money when they like, with no penalties or restrictions
• you can start saving from £1, with no minimum deposits or maximum monthly deposits required

Useful Glossary:

• AER stands for Annual Equivalent Rate and illustrates the interest rate if it was paid and compounded once each year
• Gross per Annum is the annualised rate before deduction of tax at standard rate
• Net per Annum is the annualised rate after deduction of tax at standard rate (currently 20%)