Unfortunately I suppose it’s just a matter of time before working in shipping Brucie from top to bottom of that scale in treacherous Strictly Come Dancing Stannah. But it’s really great that Bruce Forsyth has never really stopped working-a great role model. I’m not suggesting to work until they’re an octogenarian, but why not take the example of Brucie and apply it to your savings? So, why are my favorites say investigate the merits and pitfalls of a savings account with a bonus (Brucie) introduction.
Now unless you’ve been incarcerated in care of Len Goodman home for the last couple of years, you’ll know that interest rates paid on savings accounts have recently witnessed a dramatic decline. One way to maximize the amount of interest that you get the savings is to open an account that pays you a bonus on the interest rate. In fact, some of the best savings accounts out there when a bonus, but watch out: you need a good game to continue to obtain the best rate …
So, props; How does it work?
The bonuses are great, but the reason I’m great is because they are not permanent. Most of the bonuses on savings accounts will last for only 12 months, to the point that the bonus is mounted via faster than Craig Revel Horwood can say “Cha Cha Cha”!
Bonuses on savings accounts take two forms:
Conditional Bonus. A bonus that is employee behaves in a certain way; for example, do not make more than two withdrawals in one year. If you do not comply with the conditions of the bonus will be reduced or even lost completely.
Unconditional Bonus. A bonus which will be paid independently from your account.
Both types of bonuses are paid as part of the interest rate. For example, you may receive a rate of 2.50 percent, but the rate of 1.50% is a bonus, so when the bonus period account will pay only 1.00% (assuming they do not increase the Base rate of the Bank of England). The dance is equivalent to go from Tango to dance to “The Birdie Song” (though almost certainly not as humiliating).
“They haven’t done well?”-How to beat the trap of bonuses.
Calculated risk that all banks and construction companies do when they offer a bonus is that most people do not move when it ends-when they begin to make serious money off your sequins Fund.
But you don’t need to be Brucie or even a Alesha to be a great engine (well, not when it comes to save anyway!). Just be careful to when the bonuses on your savings ends and be ready to move again. Most of the bonuses last for a short period, typically a year-then set an alert on your phone or computer, or note in the diary or calendar to review your account.
“I’m not psicorigidezza, psicorigidezza-I’m not!”
Now, I must say that savings accounts with introductory bonuses aren’t always the best accounts available to all. If you are willing to lock money away for a specified period, you might find that a fixed rate bond might be more appropriate. Similarly, an ISA is always worth a look as well-there is also introductory bonus ISA! Remember that for any non-ISA accounts which you’ll have to pay taxes on interest they receive as well when comparing ISA of ISA do not always use the net interest rate.
And remember … Keep the savings!
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