Saving for the future
If you want to save money to buy something big, or if you just want to make sure that you're covered financially for anything unexpected, you should think about opening a savings account.
Choosing the right way to save
To find an account to suit you that will also get the most out of your money, you'll need to think about a number of things like:
- how old you need to be to open the account
- how much money you need to open the account
- the interest rate that you get
- how much you can afford to put into a savings account
- if you can make regular payments or just when you have some spare cash
- if you'll miss out on any bonuses or interest if you take cash out of the account
- how much you want to save and for how long before using it
- if you can take out cash instantly, or have to give notice before you can take any money from the account
Savings accounts on the high street
Most banks and building societies offer a range of savings accounts, including online accounts.
It may be convenient to have a savings account with the same bank or building society as your current account. This way you can manage your everyday living expenses through your current account and quickly divert any extra cash into your savings.
But remember that you may be able to find a better savings account elsewhere.
Having money in two separate places may be less convenient, but internet and telephone banking make sending your money to and from different accounts really easy.
National Savings and Investments
National Savings and Investments (NS&I) are the range of savings accounts offered to savers by the government. They are one of the safest ways to save your money.
If you do want to open an account with National Savings and Investments, think about how long you want to invest for.
Take a look at all the accounts that you can apply for and decide which is the best for you.
Individual Savings Accounts (ISAs)
You can save tax-free with Individual Savings Accounts (ISAs).