Natwest 5.12% Digital Regular Saver review – is it worth it?

You can’t beat this high-interest rate on cash savings. But there are a few catches.

Since it launched in 2020, Natwest’s monthly saver has paid the highest interest rates – but with a catch. The Digital Regular Saver is designed for those starting off their savings journey, and as such there’s quite a small monthly limit you can put away. Just £150.

But as rates begin to improve elsewhere, there’s been an increase in how much you can save. Though there are still a few catches.

There’s more you need to know, so here’s my quick review.

Natwest digital regular saver

How much can you save in the Natwest or RBS Digital Regular Saver?

You can save between £1 and £150 a month into the account (at launch it was £50). There’s no limit beyond that as unlike other regular savers accounts it won’t close after 12 months. However you’ll only be able to earn the top level of interest on the first £1,000.

That could mean you’ll want to save elsewhere once you reach that total, which will take six months at the full £150 a month and another at £100.

Another difference to normal regular savers is that you can take the money out whenever you want, not just when it matures. But taking £150 out doesn’t mean you can put extra back in. That £50 monthly deposit limit stays at £150 regardless.

The only way to add more than the £150 each month, and get to that £1,000 sooner, is to use a round-up function on your debit card. More on how this works here.

How much money can you earn?

Just a week after the rate increased slightly to 3.82% AER, it’s now up again at a huge 5.12% AER. If you save the full £1,000 in seven months then the interest earned in the first year will be worth around £39.04.

You’ll then keep earning the interest on that money, and over the next full 12 months you will earn you £51.20 on that grand.

However any new deposits will earn far less. Between £1,001 and £5,000 you’ll get 0.5%. Above £5,000 and you’ll get 0.4%. These can easily be beaten elsewhere.

Also the interest rate is variable. So though it’s 5.12% now, that could change at any time.

Who can get this account?

You can only open one of these regular savers if you have a Natwest or RBS current account. There are free ones, or you can look at the Natwest or RBS Rewards account.

How many accounts can you have?

There’s also only one per person, which means you can’t get another, even as a joint account.

However the same account is offered by both Natwest and RBS, and you can open up an extra current account and digital regular saver at the other bank.

How to open an account

If you have an account you need to go to your online banking or app to open the saver. I did this via my app and it took just three minutes. There’s an “Apply” button on the bottom right, and then tap the savings option. It’s all self-explanatory from there.

You need to set up a standing order of between £1 and £150 from your Natwest account, though you can cancel this once you reach £1,000.

Should you open a Natwest Digital Regular Saver?

Andy’s Analysis

If you already have a Natwest or RBS current account then absolutely, it’s worth it. It’s the best rate out there (for now). And if you can, put the full £150 in there to reach that £1,000 as soon as possible.

But what if you don’t have one? Well, that depends if there’s a bank switching offer running. At the time of writing, both banks offer at £175 for switching (you can only get the cash from one). Add that to the £36 a year via the Reward account and the initial interest, and you’re making £250 in year one.

When there’s no offer, well… most of the switching deals have been open to existing customers. So you could open the account now to get saving on the Digital Saver and hope you can still get the switching cash later on.

Of course, let’s not forget it’s a regular saver, so you’ll only be putting away up to £150 a month. If you have a larger lump sum it’s better to prioritise opening up one of the best paying savings accounts.

17 thoughts on “Natwest 5.12% Digital Regular Saver review – is it worth it?

  1. Try the RAISIN platforms. Much better value. You can even put it away for only 6 or 9 months.

  2. The most important part here is ‘Who can get this account?’

    Odd that that’s not the first thing addressed.

  3. I noted this in the terms from Natwest:
    “If you close your account, you will not earn interest for the month of closure”
    Therefore, if you do decide to close it, it’s going to be sensible to do so at the start of a given month. Another way around this would be to withdraw the bulk of the balance out, and leave say £1 in it. Then close the account with £1 in it during the month following that in which you withdrew the bulk.
    Natwest seem to imply a minimum deposit of £1 monthly. Yet later on in their spiel they imply that once you get to £1000 that you can stop the Standing Order. So there is some ambiguity there.

  4. I’ve reached £1,000 on both RBS and Nat West Regular Savers. Can I cancel the Standing Orders and leave the £1ks to earn the 3% interest?

  5. The RBS regular saver has just gone up to £150 a month!
    So you can get to the £1000 a lot quicker. After £1000 the interest rate now goes down to 0.25%

  6. You can exceed the £50 a month limit, but it’s a lot of transactions!
    “You can use Round Ups with Digital Regular Saver. Any money added from Round Ups won’t count towards your £50 per calendar month limit.”

    1. Thanks Rod, good to know! The Chase Bank round up feature offers 5%, so a better bet if you also have that

      1. rbs offers double roundups, so double the money at 3.8 vs half the money at 5% on chase.

        Overall more money.

  7. So at the end of 1 year and 8 months, I still will be putting in £50 a month, will I be able to, after it goes in, immediately withdraw the £50 and any interest earned so I can put that money elsewhere so my account balance never stays at more than £1000? Or would that be breaking a term/condition in there somewhere.

    1. Yes that would be fine.

  8. Hi there,
    I’m struggling to see how a 3% interest rate on £600 is £9.88 and not £18 – if possible please could you shed any light on this?
    Many thanks

    1. Hi Karl, it’s because it’s a regular saver. You’re not putting £600 in all at once, it’s gradual (max of £50 a month). Here’s more on how these accounts work https://becleverwithyourcash.com/regular-savings-accounts-explained/

  9. I have not tried it but the RBS site is quite clear

    “There’s no minimum deposit to open the account, however you’ll need to set up a standing order from your Royal Bank of Scotland current account of between £1 and £50 each calendar month into the account. If you wish to put extra money into the account, the combination of this and your standing order cannot exceed the £50 per calendar month limit. There is no maximum balance limit, however, the higher interest rate will only apply to balances up to and including £1,000.”

    With “no minimum deposit” it does sound like you could open with £1,000 then put in £1 per month to get max interest from day one

  10. Hi Andy, I believe it’s possible to transfer the full £1000 in one transaction into the account once opened so you could possibly be receiving 3% on that total amount straight away without drip feeding it in slowly at £50 per month.

    1. Thanks for this Andrew. I’ve checked the terms and conditions and it says the most you can put into the account every calendar month is £50, and anything over this will be moved to your current account. Have you done this?

    2. This is the info I’m trying to find out. Did you manage to do this? Thanks

      1. Unfortunately I haven’t attempted this, but have read on other forums about people who have. I’m more than happy to continue to drip feed the max £50 per month in for now.

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