Compare high-interest current accounts

The account number is the number that identifies your bank account. Typically, it's eight digits long and unique to your account. If you have several accounts, each account will have its own account number. 

You'll mostly use it, along with your sort code, when carrying out a bank transfer.

The Annual Equivalent Rate (AER) shows how much interest you'll earn over a year if you leave your money in the account.

It's worked out using a complicated formula, but essentially works by factoring in compound interest.

This is typically a regular scheduled payment taken from your account by an external party with your permission. While the date is typically fixed, the amount can vary.  

Examples of Direct Debits include your monthly council tax payment, internet bill, phone bill, or even credit card payment.

Contactless technology allows you to pay for goods and services using your debit or credit card without using your PIN. You can pay for transactions of up to £100 using contactless.

IBAN stands for international bank account number. This number identifies your account, the bank it's in, the branch it belongs to and the country where the bank is. It's part of a global system that ensures international money transfers end up in the account they were intended for. 

You can typically find the IBAN for your account on your monthly bank statement, or in your online banking or banking app.

A sort code is a six-digit number that identifies your bank and is usually required when making payments by bank transfer.

Standing orders are scheduled payments for which the amount and date of payment are fixed. They are typically used for expenses, such as bills and rent. 

Payments by standing orders can usually only take place on weekdays. If the scheduled date falls on a weekend, it'll go through on the next working day.

What constitutes high interest depends on the state of the market at the time. Interest rates can change, going either up or down. 

By using our comparison tool, you'll be able to view current interest rates and find an account that best suits your needs.

Not necessarily – it could go up or down. Some banks may also only offer the higher interest rate up to a certain balance.

For example, if you have £5,000 in your account, a provider may offer 5% on the first £1,500 but 0% on anything more.

Yes. While it may offer interest, it’s still a current account, offering all the features and services that a regular current account would. You can access your money as you see fit, like you would with any current account.

Possibly. Some high-interest accounts do charge a monthly fee but, in some cases, it’s refunded if you meet certain requirements set by the provider.

Typically, high-interest current accounts pay you interest monthly.

You don't necessarily need a good credit score in order to open a high interest current account. Banks will run a credit check on you if you apply, but this type of account rewards deposits and a cash balance and so may be considered as less of a risk than an account with a large overdraft for example.

Whether a high interest current account is better than a savings account depends on your personal circumstances and what you're looking to do. A high interest current account offers all the features of a typical current account alongside higher interest rates. But the rates may be capped or a fee may be charged each month for having the account. Savings accounts don't work like current accounts, but they may not come with limits on how much you can make in interest. If you're considering one or the other then it might be a good idea to read up the full details for both types of account first.