BLME now offering 4% interest rate on multiple savings accounts

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The Bank of London and The Middle East (BLME) will now be offering expected profit rates of over four percent on a number of its savings accounts. According to MoneyFacts data, up to six of the BLME accounts now offer market-competitive rates.

Those opening a Premier Deposit Account (PDA) with BLME can now earn up to 4.60 percent Gross Annually on five of the Bank’s fixed-term deposits.

The rate on one-year PDA deposits has been increased to now pay 4.10 percent Gross, and those opening fixed-term deposit accounts ranging from two to seven years will receive 4.60 percent Gross.

Additionally, BLME’s 90-Day Notice Account rates have been boosted to now see a 2.75 percent Gross, up from 2.50 percent, and 2.78 percent Gross Annual Equivalent Rate (AER).

The PDA fixed-term deposit accounts range from three months to seven years, and customers are able to select the term best suited to their savings goals.

The accounts can also be opened with a minimum deposit of £1,000 up to £1 million.

Profit is calculated daily and paid annually or at maturity if the deposit is less than one year. Monthly or quarterly profit payments are not available.

However, like with many fixed-term accounts, early withdrawals are not permitted. So, those who are looking for more flexibility could find the 90-Day Notice account more suitable, as unlimited withdrawals are permitted if the required notice period is given.

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Commenting on the products, Kevin Mountford, savings expert and co-founder of, told “The news that BLME has increased expected profit rates to four percent and above is great news for UK savers.

“Shariah-based savings accounts have long offered higher than usual rates to attract UK deposits and offer a great alternative to stagnant high-street rates.

“Though many offer accounts based on shariah principles, accounts from BLME are all FSCS protected, meaning consumer money is safe in the same way as any other UK savings account.

“Rates are continuing to increase on a daily basis, which is great news for savers, but so is inflation. With so many accounts now offering four percent minimum, it really is the right time to switch and start earning more for your money.”

Eleonor Williams, finance expert at MoneyFacts told “At a time when household budgets are getting squeezed from so many angles, it’s really positive to see improvements in the rates on offer to savers.

“In these uncertain times, savers are likely to be looking to secure the best possible rate of return for their nest egg, and they also may want to carefully consider their priorities and options as to where they stash their cash.

“It’s vital to keep a close eye on the top rate tables as interest rates continue to rise, in order to take advantage of the latest deals on offer.”

Ms Willams continued: “Those whose focus is on a guaranteed rate of return may prefer to lock their nest egg away in a fixed rate bond, although if they feel rates will continue to rise they might choose to focus on the shorter-term bonds available.

“Other savers may understandably want the flexibility to access their cash in case of the unexpected or be able to switch and secure a better rate if one becomes available, so easy access accounts might suit them more.

“Spreading their savings pot across both easy access and shorter-term fixed rate bonds is another option to get the best of both worlds.

“But regardless of which type of savings account they opt for, it’s imperative savers consider the challenger banks and more unfamiliar brands who offer attractive rates and who are covered by the Financial Services Compensation Scheme (FSCS).”

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