Savers 'should keep their eye on the ball'
People need to be prepared to switch saving products in order to make the most of their money, it has been suggested Consumers need to keep a keen eye out for the most competitive deals on saving accounts, it has been reported.
By constantly checking the interest rate being offered on existing accounts and comparing savings bonus rates on new offers, Szu Ping Chan writes in a lovemoney.com article that people should always be looking to make the most of their money.
“Saving account providers may be getting more sneaky when it comes to catches on your cash, but as long as you keep your eye on the ball, there’s no reason why you can’t beat them at their own game,” she points out.
However, she claims that to do so, consumers may find they need to change their savings providers as a number of the best available offers are available to new customers only.
Indeed, she herself fell victim to this as she reveals that last year she signed up to a savings account offering a competitive interest rate fixed for 12-months. A few months later however a new issue of the same account was launched offering a higher rate, as she was told this product was only available to brand new customers.
“Annoyed and angry, I switched my account,” she points out.
The need to compare accounts for saving products was also put forward as the lovemoney.com writer states that rates on many of what were considered to be the best accounts this time last year have been cut, as banks hope people will be too apathetic to move their money.
However, a willingness to shift products could be especially advisable as she highlights that many uk accounts now offer bonus rates, which although may look attractive are often loaded with numerous clauses.
Meanwhile, David Kuo, director of financial website fool.co.uk, recently pointed out that although there are a number of competitive saving accounts currently on the market, interested consumers should check such products carefully for any limits on withdrawing money. Indeed, exceeding such restrictions could result in a loss of the interest rate gained.
