Money Articles

Finding the right savings account is not as difficult as it may seem. There are several ways in which you can compare available possibilities. Before you do, here is a list which explains the features of each type of savings account.

1.Regular Savings Account

This type of account expects a monthly investment. The amount is predetermined and cannot be altered at later dates. The initial deposit must fall between a minimum and maximum boundary set by the provider. Most regular accounts may allow for instant access, however, there are also fixed term and notice accounts available. Despite there being stricter regulations for this type of account, there is a great bonus included in the interest rate.

2.Easy Access or No Notice Accounts

These allow immediate access to saved money. You are not required to give notice or pay a penalty fee for withdrawing. This type of account also allows for very small initial deposits as little as #1.

3. Notice Accounts

At higher interest rates, this account requires notice to be given when you wish to make a withdrawal. This notice can range from 7 to 120 days depending on the provider and if notice is given promptly, no penalty fees will be incurred.

4.Bonds/Term Account

These are high interest rate accounts which enable you to tie up your money for a certain period of time (between 1-5 years). Once you have made a deposit you cannot add more to it over time nor are you allowed to withdraw from it until the fixed time period has passed.

5.Tax-free Accounts

With this account you can invest up to a maximum of #7,200 a year into a so-called Isa. The two types of Isa are 'stock and shares' and 'cash isa'. There are no taxes on returns, however, some providers restrict withdrawals.

Savings Accounts

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