You are here: Home - Saving & Banking - News -

Savers beware linked accounts

Written by:

Savers opening high-interest accounts should bear in mind that any offer could be subject to a poorer value product being opened at the same time, according to Moneysupermarket.

Kevin Mountford, head of savings at Moneysupermarket, said the number of linked savings accounts currently on the market is greater than ever. They tend to offer a market-leading account on the basis that the customer takes on another product with the same provider.

For example, Abbey’s Super ISA and Super Saver are only available to customers that also invest the same amount in its Guaranteed Growth Plan investment product. Similarly, anyone taking out a Lloyds TSB Fixed Rate Cash ISA must open a Scottish Widows Investment ISA.

According to Moneysupermarket’s research, Alliance & Leicester’s Premier Regular Saver offers a whopping 12%, but only in conjunction with its current account that pays 1.5%. In contrast, A&L’s best current account pays 8.5%.

Mountford continued: “Linked accounts can offer good value, but it is important that people look at the package as a whole rather than just being seduced by the lead offer. More than ever, consumers need to check the terms and conditions of any new deal as I expect more of this cross-selling to occur.”


Tag Box




Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
Protected-investment buyers seek cover in emerging markets

Emerging markets are the underlying investment area to which people looking for protected investments are most eager to gain exposure,...