The Abbey National is aiming to help smokers kick the habit by encouraging them to save the money they would normally spend on cigarettes.
The typical 20 cigarettes a day smoker spends around GBP170 each month that could be used for many different and ultimately far better uses. Over the period of just a year a smoker who gives up and puts the money they would have spent into a monthly savings account such as the Abbey National Fixed Rate Monthly Saver would have a balance just 12 months later of almost GBP2,120.
An Abbey National spokesman urged smokers to think seriously about their options and consider the benefits of using a savings account to put money to one side. It can quickly build up into a tidy sum and the person becomes healthier into the bargain.
The Abbey National has found that over sixty percent of UK holidaymakers have used savings to finance a holiday this year, while others are using the money to pay for a holiday before it even gets to the savings account.
Over a quarter of people surveyed by the Abbey National felt that the best thing to do with the spare money they had was to use it to finance a holiday rather than put it into a savings account or other savings vehicle.
A spokesman from the Abbey National suggested taking a little bit of the money that was being allocated to holidays and use it to build up some savings. This way the person gets their holiday but also begins to build a savings fund that may well prove essential in the future.
The Abbey National has announced a reduction in the interest rates offered on several of its savings accounts, with cuts of 0.25 percent to match the recent base rate cut by the Bank of England.
Commencing on 1 May all Abbey National savings accounts with the exception of the eSaver Direct, Super 50 Plus and 50 Plus Saver will have the 0.25 percent cut on their rates. These ones mentioned will keep their rates as they were.
The Abbey National savings and investments director said that although the rates had been reduced on their accounts it was important to have a savings plan in place, especially in the current economic climate. It is a very competitive market and Abbey are committed to doing the best for their customers.
