Ways to get the best growth out of your savings accounts

Follow these suggestions to see a better return on your savings.

11:58 26 May 2013

There are many ways to try and increase your profit. But you can’t necessarily plan to earn a specific amount, since it is dependent on the economy and stock market growth.

 

Here are a few ways to make sure that you can get some growth in your savings accounts, even if it is small.

 

• Check interest rates—these are usually reviewed at certain periods annually, or more frequently. Find out when the interest rates are reviewed and adjusted and then be sure that you actually receive the proper interest rate on your savings accounts.

 

• Choose best account—if you want better growth, choose a Cash ISA or a Stocks and Shares ISA. You can also get one of each and then distribute your contributions accordingly. If you don’t want as much risk you can deposit most of your savings into the Cash ISA, and a small portion in the Stocks and Shares ISA. Regular savings accounts won’t earn much interest.

 

• Change—if you find out that you are not getting the best interest rates, don’t be afraid to change banking institutions or ask if they can match the interest rate. At the end of the day, your savings account should make you as much as possible and it won’t matter what bank you choose.

 

• Fees—check policies to make sure that there are no fees or penalties that might eat up any of the profit from the interest on your savings accounts.

 

• Contributions—the more you contribute to an account, the more interest you’ll receive on whatever amount you deposit. It’s important to continue regular deposits so that you keep increasing your ability to grow the money in your savings accounts.