UK savers have been badly hit by the advent of the recession, but now customers can get higher returns on their money if they’re prepared to shop around and lock away their money for longer.
Financial commentator, Hilary Osborne recently advised customers that get rates of up to 3.25% on instant access savings products if they shop around. Those who are happy to lock away their money for a prolonged period can get a higher interest rate of 5.45% on their deposits.
Ms Osborne highlighted some of the best deals around, including:
Sainsbury’s Internet Saver
· Available to new customers only
· 2.9% AER variable for 12 months on minimum deposits of £1,000
· Maximum deposit £500,000
· Restricted to three withdrawals a year
· Sign up and make a deposit of £1,000 before 22nd August 2009 and get 1000 Nectar points
The Egg Savings Account
· 3.25 % AER variable opening rate
· 2% bonus after 12 months
· Internet-only account
· Can be opened with as little as £1
Although Ms Osborne has outlined the best rates available, she also warned savers that interest on variable rate accounts with no guarantee attached can decrease as well as going up, so it’s not a sure thing.