Nowadays there are so many different types of savings accounts being offered to us through TV, online, newspapers, mail shots in the post and when you walk into your bank or building society the staff will often raise the subject with you especially if you have a large sum of money in your current account where it is likely to be earning very little interest.
Many people have watched their hard-earned savings effectively drop in value because inflation rises have made commodities such as food, petrol and heating so expensive.
While interest rates are so low, it is more important than ever to consider placing money in high interest savings accounts.
Savings accounts are a great way to either invest a lump sum or even put funds into on a regular basis depending on the type of savings account you have.
Internet savings accounts have become increasingly popular as with online savings accounts you tend to receive a higher rate of interest from your bank or building society than if you had the money invested in their comparable savings product that you can only access by visiting their branch or phoning them. This is because their costs in administering an online savings account are lower than a branch based one.
The other attraction of online savings accounts is that you are usually able to go online and transfer funds instantly between say your current account and savings account at the same bank or building society from the comfort of your own home.
Online savings accounts can offer excellent value for money, with many offering more than 3 per cent interest. Internet savings accounts are also easy to keep track of, so customers can easily see details of their savings account.
Nowadays many of the banks and building societies provide a savings calculator on their website which allows you to find out how much interest you will earn if you invested your money in a particular savings product that they are offering.
Because there is so much competition from the likes of banks and building societies for your monies it is definitely worth shopping around for the best deal you can find. One of the easiest ways of doing this is by going on the Internet to do your research. However, if you are unsure of exactly what type of savings account you require then you could consider seeking independent financial advice.
Savers are wise to consider all their options and if they will need to access their funds, then select the savings account that suits them with the most competitive rate.
I'm Louida from Atlanta, Georgia and I'm a mother of two daughters, blogger, and full time working mom at a Business Consulting Firm.
I love helping others learn how to start working from home on the internet free to supplement their current income.
I also blog at Productreviewmom.com
Subscribe to newsletter
Grab my Badge