These top savings accounts all pay more than 5pc – check you qualify

After years of paying next to nothing, Barclays, Lloyds and NatWest are offering savers up to 5.25 percent a year. It’s been a long wait.

Yet when it comes to the big banks, nothing is simple. You need to keep a close eye on the terms and conditions if you want to benefit.

But if you read the small print you can beat them at their own game and one of the accounts listed below is particularly attractive.

The Club Lloyds Monthly Saver offers the highest return of those compared here, paying 5.25 percent for one year.

That is a really high rate, given that Bank of England base rate is 2.25 percent at time of writing (but will almost certainly rise on Thursday).

Savers can set up a standing order for between £25 and £400 a month.

The downside with regular monthly savings accounts is that by the time you have built up a worthwhile balance, the account closes.

If you deposited the maximum £400 a month in the Club Lloyds account, you would pay in £4,800 over the year.

Yet in total, you will earn just £126 interest and things go downhill after that.

After a year, the account changes to a Lloyds Standard Saver account, which currently pays just 0.40 percent.

While you can then open a new Club Lloyds Monthly Saver, this means starting again from scratch.

READ MORE: Cash is king again rates hit 5% as Barclays, Lloyds and NatWest hike

It’s a similarly twisted tale with the NatWest Digital Regular Saver, which offers a tempting 5.12 percent.

Savers can invest between £1 and £150 a month, so only get that headline rate on tiny amounts at first.

Someone who invests the maximum £150 a month will have £1,800 after a year, but won’t get 5.12 percent on all of it.

Once the balance tops £1,000, NatWest slashes the interest rate on the surplus to just one percent.

It really isn’t taking any chances here.

If you paid in the maximum £150 every month for a year you would earn interest of just £40.58, which is hardly going to keep the wolf from the door.

I had to download a 45-page PDF to find out what happens to the pot after 12 months, but still wasn’t any wiser.

NatWest said it will let customers know at the time.

Yorkshire Building Society pays five percent for one year on its Loyalty Regular Saver, which allows members to pay in a much larger maximum of £500 a month.

Withdrawals are limited to one a year, whereas Club Lloyds and NatWest let you withdraw money at any time.

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My calculations suggest a saver who paid in the maximum each month would generate interest of £165.01 a year.

Which is the best return so far, but hardly startling.

Another issue is that not everyone is eligible for these accounts.

The Lloyds deal is only available to Club Lloyds current account holders who have not already opened one of its accounts in the last 12 months.

Similarly, NatWest’s deal is reserved for current account holders, while the YBS account is restricted to members of at least one year’s standing.

If you don’t qualify, check what your own bank or building society offers. Just don’t expect to be blown away by the interest.

Remember also that if you do not maintain every monthly payment, you may get a much lower return.

Now here’s the savings rate I am impressed by

Barclays Rainy Day Saver pays 5.12 percent but has one big advantage. It pays that sum on lump sum balances up to £5,000 from day one (you can save regularly by standing order if you wish).

Anyone who deposits the full sum right away can earn interest of £250.27 in a year.

They also retain instant access to their money so can make withdrawals.

Naturally, there’s small print. The rate sinks to 0.25 percent on sums above £5,000. Also, it is only open to Barclays Blue Rewards members.

Terms and conditions vary, but you knew that already.