The Money Saving Expert urged people on Universal Credit or tax credits to check their eligibility for the Help to Save account, which has a government bonus of 50%
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 calling on “anyone who is on universal credit or tax credits” to take a look at the Help to Save account, which offers a whopping 50% government bonus.
Unlike typical interest rates, this bonus is calculated based on the highest balance within the first two years, Martin clarified 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 caps monthly deposits at £50, Martin also stressed that the account remains active even if you stop receiving Universal Credit or tax credits during its term.
As long as it was opened while you were eligible, you can keep it 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.”
