Many people these days are trying to put some money aside each month in order to cope with financial emergencies that may arise, particularly given that credit conditions at the moment are so tough. It is important to try and put some money away each month whenever possible in the current financial climate, as you never know when you may need it. In order to make the most of your savings it is also important to find the right savings account.
When you are looking at and comparing savings accounts you should check out accounts from a range of providers, as the features and benefits of the accounts can vary. By doing a little research and comparing different savings account from different provider you can help to ensure that the account that you end up with is suited to your needs and circumstances and will allow you to really make your money work for you.
The rate of interest that is paid on the account is a very important factor, as this will determine how much you earn on your savings. You obviously want to get the highest rate of interest possible on your savings, and you will find that some of the newer savings accounts on the market, which are often part of foreign banks, offer some great rates of interest. However, you need to also look at other factors relating to the savings account before you make your final decision.
Many people are looking for convenience when it comes to their savings accounts, and some simply do not have the time to keep visiting the branch in order to take money out of their savings account. However, these days many savings accounts enable you to transfer money quickly and easily using the phone or Internet, which means that you can transfer the funds from your savings account to your bank account and then use the money by making a card purchase or taking it out of a cash point.
The level of access that you have to your money is another important consideration. The last thing you want is to have to wait thirty or ninety days to get at your cash without penalty if you think that you will need regular fast access. However, if you do not plan to access the money regularly, such as if you are saving towards a child's education, then you may benefit from a higher interest limited access account. Otherwise you need to ensure that you get an instant access account
You should consider, also, how much you want to put into your savings account, as some accounts have minimum and maximum deposit levels, and you need to ensure that these meet your needs. When you compare savings accounts with different financial institutions you should there look at the interest rates paid, how accessible your money is, how you can pay money in and take money out of the account, and what the deposit levels are on the account
Source by Alisdair Cosgrove