Principality Building Society is offering a competitive savings account paying 7% interest – intended to help Britons build up a pot in 2025.
The Christmas 2025 Regular Saver can be launched with just £1 and the interest rate is fixed for 12 months.
The minimum deposit of £1 must remain in the account until maturity and up to £125 can be paid in per month.
This allows savers to accumulate £1,500 overall and with the current Annual Equivalent Rate (AER) of 7%, the total pot is estimated to grow to £1,556.58 upon maturity.
Withdrawals are not permitted until the term ends, at which point interest is paid on the balance.
Savers must be be 16 or over and UK residents, and the account can be opened online, at an agency or in a branch. Deposits are protected by the Financial Services Compensation Scheme (FSCS).
Regular savings accounts typically offer higher interest rates and the terms generally encourage savers to pay money into the accounts monthly.
To earn interest, savers just need to meet certain requirements on the respective accounts and this generally involves making minimal withdrawals and depositing regularly.
Coventry Building Society has also launched a regular savings account for 2025, which is also targetted ar those looking to set aside small amounts throughout the year.
The Loyalty Seasonal Saver is available to those who have been with the society continuously since at least January 1, 2024.
Savers can deposit up to £250 each month, with total savings, including interest, estimated to reach £3,097.89 by the end of the term if the maximum amount is saved monthly.
The account can be opened with as little as £1, and there is no requirement to deposit funds every month, providing flexibility for savers.
The Loyalty Seasonal Saver can be opened online, in branch, over the phone, or by post. At the end of the 12-month term, the account will mature into Easy Access Saver (7), which currently offers a variable rate of 2.65% with unlimited withdrawals.
Commenting on the product, Bethaney Cozens, savings product manager at Coventry Building Society, said: “Saving now can help protect against future financial surprises and provide peace of mind, especially after high spending during the holiday season. The new Loyalty Seasonal Saver makes an ideal option for members who can set aside small amounts throughout 2025 to use during next year’s festive period.
“This account is designed to encourage regular saving, helping people save for specific goals or as a fallback during a time when finances can feel stretched.”
