Savings rates plummet as ‘worst choice on record’ arises – where to look for the best deal | Personal Finance | Finance


“While the average easy access rate stands at 0.16 percent , the lowest rate in this sector is 0.01 percent , so there is still reason to switch.

“Accounts that allow savers quick access remain popular and, according to the Bank of England, the flow of cash into sight deposits in February was almost £12.4bn, and £123bn during the last 12 months.”

Rachel concluded by detailing where savers should look for any chance to find a decent interest rate: “This month saw a drop in the number of accounts that pay a rate above 0.10 percent, the Bank of England base rate, just over one year since it fell to its record low level. There are now 1,044 accounts that beat 0.10 percent , the lowest number of deals in over a decade to beat base rate (since February 2009). Savers would be wise then to review their accounts and switch where possible, as approximately 78 percent of the market can beat 0.10 percent.

“As the UK eases out of lockdown, it will be interesting to see whether savers start to spend some of their accumulated disposable income, or if they will stay grounded and save their cash. If searching for the best deals, challenger banks continue to offer some of the top rates, however, the top rate tables remain volatile so quickness to apply remains crucial to not be left disappointed.”

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