- Interest rate: How much interest you will receive is often the no 1 reason for picking a particular account. Interest is the amount your money earns. The higher the interest rate, the more the financial institution pays you for keeping your money with them. Accounts may offer bonus rates to entice savers to sign-up. Be watchful to find out how long these teaser rates will last and any terms, such as saving a minimum regular amount, before proceeding. Interests might also be fixed for a set term, or variable as the market changes. It could also be paid monthly or annually.
- Access: Understand how quickly you’ll be able to access your savings if you need the money. That way you can plan and if you need the cash in an emergency, you won’t be surprised by the terms. Often the longer you’re prepared to lock your money away, the higher the interest rate you might receive. But this is not always the case.
- Terms and conditions: Before opening a new account check for terms such as minimum deposits and regular saving amounts and charges for withdrawals.
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