There was more of the same this week, with ongoing revelations surrounding the TSB fiasco. This issue is not likely to go away just yet – so, in a clear attempt to stem the flow of customers leaving the troubled bank, TSB has announced an increase to the interest rate on its Classic Plus current account – back up to 5% AER on balances of up to £1,500, from the 3% it dropped down to in January 2017.
And there has been no change in the widespread prediction that the May base rate rise is all but dead in the water. The latest figures from the CBI (Confederation of British Industry) Growth Indicator, out at the weekend, confirmed a continuation of weak economic growth into April. A certain death knell for a rise?
But once again, the overriding message is that your high street bank is ripping you off – so with almost half of all variable rate savings accounts failing to pass on the last base rate rise – it’s time to move.
The Sunday Express focused on the issue that the best savings rates are generally online only – although we pointed out that there are several options for those who’d rather open and manage their savings in a more traditional way – especially at the moment.
And following the royal birth, the Times looked at “How to Build a healthy nest egg for fledglings”.
Although Prince Louis will probably never be too worried about money, there are lots of choices for normal parents and grandparents, to help give their children an economic advantage.
The Yorkshire Building Society did some research into how much money is invested into children’s accounts, by name.
Boys called Louis have average savings of £769, Georges have an average of £1,321. But Charlottes are the winners, with an average of £2,995.
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Update: 2 May 2018
The midweek press this week is a bit sparse on savings stories, although they all report the news that RBS is to axe 162 bank branches with a loss of nearly 800 jobs. The relentless closure of bank branches means that more and more people will have to depend on online banking or travel further and further - if that’s even an option. It would be nice to think that, as a result of the savings the banks are making with all these branch closures and job losses, they will offer more competitive rates to their savers. We won’t hold our breath.
And the Daily Mail reminds us that if we are fed up with our bank, it only takes seven days to switch your current account – they give a lowdown on some of the banks you could choose from, to match your particular needs.
Back to savings – nearly half (47 per cent) of all new accounts launched in the first four months of this year are paying a better rate than the previous offering. This is a marked improvement on the same period last year, when 38 per cent of all new launches were higher.
Things are going in the right direction, so make sure you aren’t languishing in an uncompetitive account.
*We are occasionally paid by some providers if you click through from our Best Buy Tables and open a savings or current account with them. We will never accept a payment that compromises in any way our independent, whole of market approach to providing information on savings products. For clarity we will indicate those companies who remunerate us with an asterisk (*).
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