Tip 1 – Set a savings goal
What do you want to get from your savings? How much do you need to save? When do you need the money?
You might want to save a set amount by a target date or save up for a specific thing like a special day out or a new car.
Your savings goal will help determine which account is best for you. If you have more than one goal you could use different accounts for each one.
Tip 2 – Know yourself when comparing rates
How hands on are you likely to be with your savings? Some accounts offer a high bonus rate which is designed to tempt you in – but bonuses drop off after a certain period.
If you have time to shop around and don’t mind switching to get the best deals, set a reminder to switch at the end of any initial bonus rate.
If you don’t have time to keep switching, avoid accounts offering bonus rates and look for a rate that’s been more stable historically.
Comparison websites are a good starting point for anyone trying to find a savings account tailored to their needs.
Tip 3 – Use regular savings accounts or fixed term deposits
Can you set up a standing order to your savings account or tie up your money for a year or more?
If so, you could earn a bit more interest with a regular savings account or a fixed-term deposit or savings bond.
But remember, with a fixed term account you might not be able to access your money immediately (or even not until the end of the term) – and there could be a hefty withdrawal fee.
At Flexiwage our groundbreaking technology lets employees build payday around their life, not their life around payday. We empower employees and employers to make smarter financial decisions. We believe employers care about their employees financial wellbeing and we know that a happy employee is more productive and engaged. If you would like to learn more about our solutions please email; firstname.lastname@example.org or visit www.flexiwage.com