Jargon Buster. Some plain speaking

This is the sum of money in an account.

This is a summary of all the transactions on your savings account. These can be viewed online in your customer portal and are generated monthly, or you can customise the statement for the desired time period.

AER stands for Annual Equivalent Rate. It shows what the interest rate would be if interest was paid and compounded (meaning that you earn interest on interest) once each year.

The Authorised Push Payment regulations provide protection for customers if you are scammed into making a payment through the Faster Payment Scheme (FPS) or Clearing House Automated Payment System (CHAPS). Please visit this page for more details.

The Bank of England base rate, also known as the Bank Rate, is the rate of interest at which the Bank of England pays to banks and building societies for funds deposited with the Bank of England. It serves as the benchmark for interest rates across the economy, and partly influences the rates that banks charge on loans and pay on deposits.

This stands for Clearing House Automated Payment System. A CHAPS payment is a same-day transfer between banks that can be used for large amounts of money.

Interest that is calculated on the original amount saved, as well as any interest earned. Essentially, it means that you earn interest on your interest.

This is the 14-day timeframe you have to change your mind after opening some of our savings accounts. Please refer to your Terms and Conditions to see if this applies.

A depositor is someone who puts money (deposits) into a savings account.

The Faster Payments Service is a payment system, designed to reduce payment times between different banks’ customer accounts to a few seconds. This is a service which Vida Savings offers its customers.

The Financial Conduct Authority (FCA) regulates the financial services industry in the UK. Its role includes protecting consumers, keeping the industry stable, and promoting healthy competition between financial service providers.

The Financial Ombudsman Service (FOS) is the official independent complaints service which works to resolve complaints between consumers and businesses that provide financial services. If we cannot resolve the complaint to your satisfaction, you have the right to refer your complaint to the Financial Ombudsman Service.

The Financial Services Compensation Scheme (FSCS) is the UK's deposit guarantee scheme. It pays compensation to consumers in the unlikely event a financial services firm (covered by the scheme) stops trading, subject to certain conditions.

An interest rate that remains constant for the entire term, regardless of fluctuations in the economy or broader market.

A Fixed Rate Bond is a savings account which will earn a fixed rate of interest over a set period of time. Bond terms can vary usually between 1 to 5 years.

A Fixed Rate Bond allows you to lock away your money for a set time (the term) with a fixed interest rate. You can’t make any withdrawals during this period; however, this is generally in exchange for a guaranteed interest rate.

Gross interest is the taxable rate of interest you'll earn on your savings, before the deduction of UK income tax.

Interest is the money that you earn on your savings account.

Maturity refers to the end date of your fixed rate savings account. Ahead of this time, you’ll be presented with options, including reinvesting your balance, adding or withdrawing funds or closing the account.

This is the maximum balance allowed on the account, plus any resulting interest.

This is the minimum deposit amount needed to open the account and can only be made in one transaction.

Is the lowest amount of money that must be maintained in your savings account to ensure it remains open and operational. If the balance falls below this level, your account will be closed.

A National Insurance Number (NI) is a personal identifying number that every UK resident will receive at the age of 16.

A Nominated Bank Account is the account that you will use to pay money into your Vida Savings account, and also the account that we will return your money to when you make a withdrawal.

You can only transfer money to and from your Vida Savings Account through your Nominated Bank Account and you can only have one Nominated Bank Account across all the savings accounts that you hold with us.

Your Nominated Bank Account must be a UK bank account in your full name, and it must be capable of sending and receiving Electronic Transfers.

You'll be asked to assign your Nominated Bank Account to your Vida Savings account when you apply. You can change your Nominated Bank Account, subject to your new Nominated Bank Account meeting the above criteria.

Nominated Bank Account for Joint Savings Accounts

If you have a joint savings account, your Nominated Bank Account can either be:

• a sole account in the name of one of the joint savings account holders, or
• a joint bank account in the names of both joint savings account holders. 

If your Savings account is in joint names and your Nominated Bank Account is in one of your names, only the person named on the Nominated Bank Account will be able to transfer money from the Account.

An account you can access and manage online.

Your Personal Savings Allowance allows you to get up to £1,000 of interest and not have to pay tax on it, depending on which Income Tax band you’re in.

A power of attorney is a way of giving someone you trust the legal authority to make decisions on your behalf. See our FAQ about power of attorney.

This is the company or organisation that provides the account.

The Prudential Regulation Authority (PRA) is a UK financial services regulatory body. They are responsible for the prudential regulation and supervision of banks, building societies, credit unions, insurers, and major investment firms.

The percentage at which interest is paid on savings, for example 2.50%.

These are the specific terms and conditions which apply to individual Vida Savings products. They provide an overview of the key features of each product, and should be read in conjunction with our overall Terms and Conditions, which apply to all Vida Savings accounts.

A tax year runs from 6th April one year until 5th April the following year.

When something is tax-free, it means no taxes are imposed on it.  For example, with a tax-free Cash ISA, the interest earned is free from UK Income Tax and doesn’t form part of your Personal Savings Allowance.

The term is the period of time your account runs for, for example two years.

These are our overall Terms and Conditions, which apply to all Vida Savings accounts.

These are interest rates offered by banks and financial institutions on deposits which are liable to change in response to changes in the broader financial market, or economic conditions. For example, a movement in the Bank of England Base Rate.

We’ll send you a ‘welcome pack’ via secure message, once your account has been opened, which includes your account details.

A withdrawal is the process of removing funds from a savings account. In some savings accounts, conditions must be met to withdraw funds without penalty.