Tag Archives: savings

Comparing Bank Savings accounts

Different banks and accounts serve you differently. To Compare bank savings accounts:

  • Before moving money or opening / closing accounts check what rates would apply at different balances. It may pay you to increase your balance if you are able to do so.
  • If you transfer only part of the sum indicated above, then lower rates of interest may be earned on both the account you have transferred to and the remaining balance on your existing account.
  • Before closing an account do check that you do not lose any entitlement to windfall payments/shares.
  • Check the specific product information and rates with both your previous and prospective savings banks before moving money or opening / closing accounts.
  • Rates may change over time so a competitive rate now may not be a competitive rate in the future. Banks that claim to pay a higher interest on your savings now may lower those rates soon after you pay in your money to them. This is a typical ING bank’s trick.
  • Watch out for penalties or loss of interest when changing accounts and any different penalties the new provider may impose. Penalties are usually hidden in small letters on published bank policies.
  • Consider any other relationships you have with your existing savings bank, your own specific needs for flexibility and access to your money and the quality of service.
  • Do not be misled by bank escape clauses or caviats like “Whilst every effort is made to ensure accuracy, our bank cannot take any responsibility for any errors or omissions.” or “Past returns are no guarantee for the future”. Banks try to cover their ass with such escape clauses, but they are still responsible for protecting your capital, no matter what happens anyway.

Avoid financial pitfalls