Only 1 in 25 savings accounts pays 3% interest
by David Masters
Fewer than 4% of instant access savings accounts pay AER at 3% or above, according to new research from Sainsbury’s Finance.
A survey of accounts by the supermarket bank found that just 14 of the 367 instant access accounts currently available in the UK pay interest of 3% or more on balances of £5,000.
The average interest rate paid by instant access savings accounts is just 0.17%, Sainsbury’s Finance said.
Helen Cook, Sainsbury’s Finance head of savings, said: “With rates so low, savers need promises from banks and building societies that they will still offer competitive rates.”
The Bank of England’s base rate currently stands at an all-time low of 0.5%.
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Tags: 0.5%, 3%, Base rate, instant access, interest rates, research, Sainsbury's Finance, savings
