97% of charities unhappy with savings account rate Go compare with our comparison table

97% of charities unhappy with savings account rate

28 June 2010 / by Rachel Mason

- 97% of charities polled not happy with savings account rate

- Average charity savings account pays just 0.57%*

- Get up to 3.50% with Fair Investment's charity savings  service

More than 97% of charities say they are unhappy with their savings account rate.

In a quick poll on www.fairinvestment.co.uk last week, 62 charities said they were unhappy with their organisation's savings account rate, just four charities said they were happy.

"Considering that the average charity savings account is currently offering a 0.57% in interest, I am not at all surprised that the vast majority of charities are unhappy with their savings account rate," says James Caldwell, director of Fair Investment Company.

"Savings account rates are low for everyone at the moment, but it would seem that charities are getting a really bad deal. While the average personal account is paying 0.73, the average charity savings account is even worse – only 0.07% above the historically low base rate.

"Although there is nothing we can do to make the rates go up, we can help charities find the best rates available, which is why we have launched a charity savings comparison service," said James.

"Our service compares leading charity savings accounts and offers up to 3.50% on fixed rates and up to 2% on notice accounts and 1.5% on easy access deposit accounts, which means that even the lowest rates on our site are nearly three times the average. If your charity is receiving low interest, it is worth taking a look at some of the deals we have – it could make a big difference."

Chart shows how average charity savings account rates compare to rates available on www.fairinvestment.co.uk from February 2010 (when the Fairinvestment.co.uk service was launched).

 Charity Savings Accounts

Source: http://www.fairinvestment.co.uk

 

Business Savings Selection
ProviderAccountRate TermApply
1.10%1 YearMore Info >
1.10% gross/AER. £1,000 minimum opening balance. No withdrawals.
1.00%6 MonthsMore Info >
1.00% gross/AER. £1,000 minimum opening balance. No withdrawals.
0.85%Easy AccessMore Info >
0.85% gross/AER. £1,000 minimum opening balance. Unlimited withdrawals.
0.65%1 YearMore Info >
A highly competitive rate of interest if you can lock your savings away for 1 year, with interest paid on maturity. Open to businesses with fewer than 250 employees and a turnover or assets of up to £45 million.
0.75%95 Day NoticeMore Info >
0.75% AER/gross. Withdrawals subject to 95 days notice. Minimum Deposit £10,000, maximum balance £5,000,000. Available to UK businesses.
0.55%6 MonthsMore Info >
A highly competitive rate of interest if you can lock your savings away for 6 months, with interest paid on maturity. Open to businesses with fewer than 250 employees and a turnover or assets of up to £45 million.
0.55%95 Day NoticeMore Info >
Earn a higher rate of interest if you don;t need immediate access to your savings, with interest paid monthly or annually. Open to businesses with fewer than 250 employees and a turnover or assets of up to £45 million.
0.40%Instant AccessMore Info >
Instant access account for - BUSINESS, CHARITIES, HOUSING ASSOCIATIONS, CLUBS & PARTNERSHIPS - Interest paid monthly or annually. Open to organisations with fewer than 250 employees and a turnover or assets of up to £45 million.