The interest rate on Santander's popular 123 Current Account will be reduced to just 0.6% AER from tomorrow (Monday 3 August). The bank had already cut the rate from 1.5% to 1% AER in May, while introducing a £5 monthly cashback cap for each of its three tiers.
Santander customers with the bank's popular 123 current account will see the interest paid on savings drop to just 0.3% from 12 April. It's the third time the bank has cut the account's rate cut in less than a year and means holders are better off switching.
However, Santander’s 123 Mini Current Account isn’t half bad. It comes with no monthly fees and can be managed online and via app. It pays a pretty decent interest rate on low and medium balances.
Santander’s 123 account pays up to 3% on selected household bills, capped at a maximum of £15 per month, as well as offering 2% interest on balances up to £20,000. The bank said its new Edge Up...
The Santander 123 'mini' current account pays 3% tax-free on balances between £300 and £2,000 and is available to children from birth up until they reach adulthood.
The difference between the Santander 123 and 123 Lite account is the monthly cost, the interest rate, and a few eligibility requirements. For the Santander 123 account, you’ll need to pay double the amount each month to gain access to a 0.3% interest.
From September 2022, Santander’s 1|2|3 Current Account is doubling the cashback it pays on energy bills to 4% for the first two months up to a £10 a month cap.
The kids current account that helps young people take their first steps to financial independence. Learn more about our 123 Mini and apply online now.
1I2I3 Mini Current Account. Key Facts Document (including Financial Services Compensation Scheme (FSCS) Information Sheet and Exclusions list) You’ll also find other important information about your account which includes how you can manage your account and how you’ll receive your documents from us.
Cashback is a monthly cash reward that we’ll pay directly into your 1I2I3 Current Account, as long as you meet the ongoing eligibility criteria that we’ve set out in Conditions 4 and 5. A cap of £5 applies on the amount of cashback that is paid on each of the eligible percentage cashback categories.