The Nationwide Building Society, in its latest results for July, has found that 20 percent of the adult population are not putting any savings aside.
They also found that the number of people saving on a regular basis also fell, down to 46 percent from 54 percent just three months ago. Two thirds of people believe they should be saving according to the Nationwide Building Society, though the key, as with most things, is to do something about it.
A spokesman from the Nationwide Building Society said that consumers appeared to be feeling the pressure being put on them by rising prices but also asked them to at least look at savings vehicles such as ISAs and Childrens Trust Funds. These are tax efficient and so can make a big difference.
Alliance and Leicester fixed rate bonds have enjoyed some interest rate changes, with the one year fixed rate product going up from 6.5 percent to 6.65 percent AER.
All the fixed rate bonds provided by Alliance and Leicester will payout on a monthly basis should that be preferable to the customer, with the balance invested needing to be between GBP2,500 and GBP2 million to be eligible for monthly payments. The minimum amount needed to invest in one of these bonds is GBP1,000.
The benefit of fixed rate bonds is the security of the capital invested as well as there being a set, guaranteed, return said an Alliance and Leicester spokesman. This means customers know exactly what they will receive back from their investment, enabling them to plan more effectively.
Egg, best known for their Egg card, has just announced a new interest rate on their savings account of 6.05 percent gross.
Requiring a minimum deposit of just GBP1 and open to both existing and new customers the Egg card savings account is expected to be very popular. It also allows free access to the money held, with no penalties or notice periods needed. After the first 12 months at the introductory rate the account reverts back to the standard variable rate, currently 4.75 percent gross.
An Egg card spokesman, discussing the savings account, said that the introductory interest rate is one of the best available for easy access accounts and, with the rate guaranteed for 12 months offers an excellent vehicle for savers.
