The Money Saving Expert has highlighted an “unbeatable” savings account for those on Universal Credit or tax credits, urging them to check their eligibility.
Martin Lewis is passionately advising “anyone who is on universal credit or tax credits” to look into the Help to Save account, which boasts a staggering government bonus of 50%.
What sets this account apart is not just the impressive bonus rate, but also the unique way it’s calculated based on the highest balance within the first two years.
Martin elaborated on The Martin Lewis Podcast: “Imagine you put in £50 a month and do that for a year, you’ve now got £600.
“You have an emergency, you need this cash cause your fridge has broken down. You use that money to buy a fridge, you’ve got nothing else in savings and you can’t save again.
“At the end of the two-year period, even though you have nothing in the account, because the most you had in that account was £600 you get 50%, you get £300 still.
“Then you have another two years where something very similar happens, you get 50% on the extra you put in the last two years.”
While the account limits monthly deposits to £50, Martin also stressed that the benefits continue even if you stop receiving Universal Credit or tax credits during its tenure.
As long as you were eligible when you opened it, the account remains active for the entire four years.
Martin praised the Help to Save account as the “best savings account in the country by a mile”, adding: “Most people can’t get it, but if you can, unbeatable.”
