Barclays launches 5.12% linked savings account – here's how to get it

The pros and cons of Barclays' new savings account

Here are the pros of Barclays' new savings account:

• The interest rate smashes the next best open-to-all easy-access account. As outlined in the table above, Barclays' 5.12% is much higher than the next best easy-access rate offered by Yorkshire Building Society at 2.5% on up to £5,000 and 2% on anything more.
  
  
• For those with £5,000 or less to save, this is the top rate offered. Those with more money might want to consider alternatives, however. See our Top savings guide for your options, including easy-access accounts that pay the same rate of interest on deposits of up to £2 million.

And here are the cons – though ultimately you need to decide what's best for you based on your individual situation and needs:

• It's a variable account, which means the rate can fall, as well as rise, at any point. If this is something you're concerned about, you may want to consider fixing instead. However, this does mean you won't be able to withdraw your savings during this time. In addition, you could miss out on higher rates in future given the base rate, which influences savings rates, is expected to continue to rise.
  
  
• As outlined above, the table shows you can earn more on £10,000+ in savings elsewhere. See our Top savings guide for alternatives.
  
  
• You need to be a Barclays current account holder AND a Blue Rewards member to access the account. If you're not already a Barclays current account-holder, there are no cash bonuses available to switch to it at the moment. In comparison, you can currently earn up to £200 by switching elsewhere. See our Best bank accounts guide for more info.