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What are the Best Value Savings Accounts?

Many customers aren't aware that they're earning a nominal rate of interest on their savings and this comes as a huge shock to them. You may be receiving as little as 0.1%. If you aren't completely sure, check on your bank's website. The best value savings accounts offer a competitive rate of interest, but are ultimately determined by how long you can afford to tie up your money.

Northern Rock Fixed Rate ISA, Issue 18

If you're a higher-rate taxpayer who hasn't utilised your tax-free allowance this year, it's a good idea to do so. You can invest up to £5,340 into a 3-year fixed rate- e-ISA and earn 4.01% AER. You can make withdrawals in the event of an emergency, but this is subject to the loss of 120 days' interest.

Post Office 3 Year Online Bond

If you've utilised your tax-free allowance for the year, consider putting your money into a fixed-rate bond. You'll receive 4.21% AER, which is better than the best savings accounts. You'll need to invest at least £500, but the interest can be taken monthly or annually. A useful consideration if you're retired.

West Bromwich BS Postal Direct Account

If you're prepared to provide 120-days notice, you can get 2.95% AER and gain access your funds. You'll need a minimum of £1,000 to open this high rate savings account.

How to Find the Best Value Savings Accounts

If you're an existing customer, you can be forgiven for assuming that you'll automatically receive an attractive return. Sadly, the top interest savings accounts are actually reserved to attract new business. The onus is firmly on you to verify that you're receiving a high rate of interest. You don't need to do this very often, but it's advisable to perform your checks at least once a year.

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