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A major building society has launched a new savings account with a "competitive" interest rate and an "enticing" monthly prize draw attached.
Coventry Building Society has launched Sunny Day Saver 3, a regular savings account that pairs a five per cent interest rate with monthly cash prize draws.
The account allows customers to set aside up to £150 each month, with the building society describing the product as a way to save towards life's memorable moments or "sunny days."
Opening the account requires just £1, and it is only available for a limited window during September.
The third iteration of the Sunny Day Saver combines guaranteed returns with the excitement of prize draws, offering savers ten chances each month to win up to £500.
Depositing a minimum of £10 in any given month is all that's needed to enter that month's prize draw.
Savers are under no obligation to contribute every single month, but each qualifying deposit earns them a shot at one of ten cash prizes worth up to £500.
Those who demonstrate sustained commitment by qualifying for all 11 monthly draws gain entry into a bonus draw carrying a top prize of up to £5,000.
Mike Mendham, head of Savings at Coventry Building Society, drew a direct contrast with Premium Bonds, stating: "Unlike Premium Bonds, where returns depend entirely on winning a prize, Sunny Day Saver offers the reassurance of earning interest on your savings while also providing the chance to win monthly cash prizes.
"For those who save regularly each month, there's the added benefit of being entered into a larger prize draw.
"It gives savers the best of both worlds: the opportunity to be rewarded through prizes, alongside the confidence that their money is growing over time, whether they win or not."
Mr Mendham also noted that with UK Savings Week on the horizon, the timing is ideal for people to consider how modest, consistent contributions can transform aspirations into reality.
Rachel Springall, a finance expert at Moneyfacts, described the new account as "a fantastic choice" for anyone setting money aside for future goals.
She highlighted both the competitive interest rate and the appeal of the monthly prize draw as key selling points.
Ms Springall added: "As an added bonus, even if someone's savings habit temporarily changes, they can still be eligible for the draw, but diligence to commit and put away some cash every month will give them a chance to win an even bigger prize pot."
The finance expert emphasised that regular savings accounts remain an excellent vehicle for strengthening financial resilience, particularly when it comes to establishing an emergency fund for unforeseen expenses.
