Interest Rates for Savings Accounts
Interest Rates for Savings Accounts
The interest rates for savings accounts depend on the type of savings account it is. The best rates are available on accounts where you lock the money away for a set period, but you can also get good rates on instant access savings accounts, which offer a savings account with the flexibility of a current account. The main types of savings account are:
- Instant Access Savings Accounts: Instant access to your cash, usually via a cash card/cheque book. No penalties or restrictions on payments, transfers or withdrawals.
- Internet Only Accounts: Can be opened and managed online, 24 hours a day. No penalties or restrictions on payments, transfers or withdrawals.
- Fixed Rate Savings Accounts: Has a fixed interest rate for a fixed period of time. There are penalties for withdrawals/transfers before the end of the term, but the interest is not affected by rate changes and you can guarantee a return on your money.
- Regular Payment Accounts: benefit from a higher rate of interest in return for making regular deposits into the account
- Mini Cash ISAs: Take advantage of your tax free allowance; save up to £3,000 a year and pay no tax on interest earned.
To work out the best interest rates for savings accounts, decide what you want from your account –if you are prepared to leave it alone and reap the rewards of a fixed term, or need instant access to your cash – and then do a comparison for the best rates to find the best deal for you.
Alternatively click on savings accounts advertising links below: