Saving accounts are a lifeline for millions, as an easy dip into your pot can provide a certain flexibility and reassurance needed for trying times. Some of the best accounts at the moment offer interest rates of 4.51%, which is a healthy rate above the UK’s current inflation of 3.6%.
Last year, around £252billion was sitting in UK current accounts or savings accounts earning no interest. It’s easy to move your cash over and start making it work for you, rather than slowly wasting away as inflation progresses.
Maitham Mohsin, head of savings at Skipton Building Society, previously told The Express: “My motto right now is if you’ve got money in a current account, take the money out of that current account.
“People have this handle of what savings used to pay out. But you don’t have to have a lot of money. If you have a £5,000 pot and you put it in a decent instant access account, [the interest earned] will probably cover Netflix.
Interest can also help offset your utility bills and other monthly payments you need to make. “Think of [interest] as saving you money. Use money from interest to pay for things.”
For investment amounts of £25,000 these are the best five easy access savings acounts on the market at the moment according to Money Facts Compare.
- Sidekick Multi Shield – 4.48% annual eqivalent rate (AER) interest/5.48% with bonus. This is a variable savings account (which means your interest rate can fluctuate) with no notice needed to take out your money. The interest is paid back into your savings account (or compounded) monthly, meaning it will compound faster. There is also a 1% bonus rate for six months on investments between £10,000-£85,001. Click here to find out more on their website.
- Cahoot Simple Saver (Issue 13) – 4.40% AER interest. This is also a variable account with no notice to withdraw. Interest can be paid either monthly or annually on this account, both with the same interest rates and both can be compounded or paid away. Click here to find out more on their website.
- Chip Easy Access Saver – 4.37% AER interest/5.95% with bonus. Again a variable account with no notice to withdraw. Interest is paid monthly here. There is a 12 month bonus of an additional 1.58% here, bringing this up to 5.95% interest, the second best rate on this list for a year. interest must be compounded. Click here to find out more on their website.
- Chip Instant Access Account – 4.35% AER interest/5.91% with bonus. This too is a variable account with no notice. Its interest is paid monthly and must be compounded. Click here to find out more on their website.
- Shawbrook Bank Bonus Easy Access Savings Account – Issue 3 – 4.34 AER interest/6.62% interest with bonus. This is a variable account with no notice with interest being paid monthly. It can either be compounded or paid away. A 12 month bonus comes with this one at an extra 2.28%, bringing it to easily the best rate on this list at 6.62%. Click here to find out more on their website.