Hot savings deals, 02 October 2012Which? experts round up the best savings deals
02 October 2012
Which? Money provides its weekly look at the best savings deals currently available to help you deposit your cash in the right account.
The best cash Isas on the market
- Instant access cash Isa: Manchester Building Society offers the best instant-access cash Isa deal, paying 3.06% on initial balances of at least £1,000. This account includes a bonus of 1.05% payable for a year. The Post Office's Premier Cash Isa pays 3.01% (including a 1.26% bonus for 18 months). The Isa from Sainsbury's Finance also stands out with a competitive rate of 2.80% without a bonus period - so is worth considering if you want to avoid worry about the rate dropping off. You can also start with a minimum deposit of £500.
- 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: Marks & Spencer Bank offers the top one-year fixed-rate cash Isa account at 3.10% and all allow transfers in from other providers. The Isas from Aldermore, Governor Money, Julian Hodge Bank, Saga and Virgin Money also pay competitive rates at 3.00%.
- Two-year fixed-rate cash Isa: Santander leads with its Isa paying 3.30%. The two-year fixed-rate cash Isa deals from the Halifax, M&S Bank and Shepshed BS also offer an attractive rate at 3.25% if you're happy to tie your money up for two years.
- Three-year fixed-rate cash Isa: The Halifax offers a decent rate of 3.75% and tops the three-year fixed rate cash Isa table. M&S Bank, Bank of Cyprus, Saga and Virgin Money follow with a rate of 3.30%.
- Four-year fixed-rate cash Isa: The Halifax Fixed Rate Isa Saver offers the top four-year fixed-rate cash Isa deal paying 3.80% from initial balances of £500.
- Five-year fixed-rate cash Isa: The Halifax is top with its five-year fixed rate Isa paying 4.00%. Julian Hodge Bank follows with a rate of 3.75%.
The best savings accounts
- Instant access savings: The AA, Halifax and Santander top the best instant-access savings table at 2.80% on balances from just £1. All these accounts are operated via the internet only and include variable rate bonuses payable for a year.
- Notice savings: Traditionally, notice savings accounts paid higher rates than instant access accounts in return for tying your money up but this is not always the case. United Bank UK's 90 Day Notice account is best at 3.12% on balances from £2,000.
- One-year fixed rate savings: Tesco Bank offers the top-paying one-year fixed-rate savings deal at 3.20%. Close Brothers Savings also offers a decent rate at 3.15% from initial balances of £10,000.
- Two-year fixed rate savings: The AA offers the top-paying two-year fixed-rate savings account at 3.30%. Bank of Cyprus UK, Governor Money, M&S Bank and The Co-operative Bank follow closely behind with their deals paying 3.25%.
- Three-year fixed rate savings: The Co-operative Bank tops the three-year fixed-rate savings account table with a rate of 3.62%. However, Saga are hot on its heels at 3.60%.
- Four-year fixed rate savings: Shawbrook Bank offers the best four-year fixed-rate savings accounts at 3.75%, followed by Halifax at 3.55% from balances of £500.
- Five-year fixed rate savings: Julian Hodge Bank and Principality BS currently top our five-year fixed-rate savings table, paying 3.75%. Vanquis Bank are next paying 3.71%.
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.
- Non-internet savings accounts - for the best rate non-internet accounts
- Are my savings safe? - the Which? guide to savings protection
- Regular savings accounts – for the best rate monthly savings accounts