Hot savings deals, 28 June 2012Which? experts round up the best savings deals
28 June 2012
Which? Money provides its fortnightly look at the best savings deals out there to help you invest your cash in the right account.
The market's best cash Isas
- Instant access cash Isa: Cheshire BS offers the best instant-access cash Isa deal, paying 3.35%. However, this account does not accept transfers in from other providers. The top account that does accept transfers in is Santander's Direct Isa, paying 3.30%. Marks & Spencer Money's Advantage Isa and Virgin Money's Easy Access Isa/E-Isa are worth noting as they allow transfers in and the headline rates (3.00% and 2.85% respectively) don't include a bonus, so you won't have to worry about the rate dropping off after 12 months.
- Notice cash Isa: Notice cash Isa accounts used to pay a higher rate for locking up your money, but don't tend to anymore. Coventry BS's 60 Day Notice Isa does pay an attractive rate of 3.25%, but you'll need to give 60 days notice to get at your cash. This account does not allow transfers in from other providers.
- One-year fixed-rate cash Isa: Santander offers the top one-year fixed-rate cash Isa account at 3.50% and allows transfers in from other providers. The Isas from Julian Hodge Bank, Marks & Spencer Money and Metro Bank also pay competitive rates at 3.25%.
- Two-year fixed-rate cash Isa: Santander's Two-year Fixed Rate Major Isa offers 4.00% and has a minimum deposit of just £1. The two-year fixed-rate cash Isa deal from the Post Office at 3.60% is also an attractive product if you're happy to tie your money up for two years.
- Three-year fixed-rate cash Isa: The Halifax Fixed Rate Isa Saver account currently tops our three-year fixed-rate cash Isa table paying 4.00% on initial balances of at least £500. Marks & Spencer Money also offers a decent rate at 3.75%. This account can be operated by post or over the telephone.
- Four-year fixed-rate cash Isa: The Halifax Fixed Rate Isa Saver pays 4.15% and is the only four-year fixed-rate cash Isa deal that qualifies to feature in our tables at the moment.
- Five-year fixed-rate cash Isa: The Halifax lead the way again with their five-year fixed rate Isa paying 4.25% that requires a minimum deposit of £500. BM Savings and Governor Money's Clydesdale Bank Fixed Rate Isa accounts are currently paying 4.05%. All allow transfers in.
The best savings accounts
- Instant access savings: Krbs's Direct Savings and Santander's eSaver Issue 5 accounts top the best instant-access savings table at 3.20%. The rate on the Santander account includes a 2.70% bonus payable for a year. The krbs account can be operated at a branch, via the internet or by post.
- Notice savings: Traditionally, notice savings accounts paid higher rates than instant access accounts in return for tying your money up but this is no longer always the case. Krbs's 60 Day Internet Notice account leads our table at 3.35% from balances of £1,000. This is closely followed by their postal and telephone option at 3.25%.
- One-year fixed rate savings: The Co-operative Bank and Governor Money's Clydesdale Bank Fixed Rate account offer the top-paying one-year fixed-rate savings accounts at 3.50%. The Co-operative Bank is a Which? Recommended Provider (WRP) from our latest customer satisfaction survey.
- Two-year fixed rate savings: The Co-operative Bank and BM Savings offer the top-paying two-year fixed-rate savings accounts at 3.75%. The AA's Fixed Rate deal also pays a competitive rate at 3.70% from balances of just £1.
- Three-year fixed rate savings: The Co-operative Bank, BM Savings and Close Brothers Savings offer the best three-year fixed-rate savings deals at 4.00%. Clydesdale Bank and Yorkshire Bank also offer attractive rates at 3.90% on initial balances of £2,000.
- Four-year fixed rate savings: The Halifax currently tops our four-year fixed-rate savings account table, paying 4.05% on initial balances of £500. BM Savings are next with a competitive rate of 4.00% from £1.
- Five-year fixed rate savings: Clydesdale Bank and Yorkshire Bank currently leads our five-year fixed-rate savings account table, paying an impressive 4.25% on initial balances of £2,000. BM Savings are next best at 4.20% from balances of just £1.
And finally... boost your savings
To find out if your savings account is paying a competitive interest rate, check out the Which? Savings Rate Booster tool and switch your account for a better deal if necessary.