Savings: Don't shy away, get involved!

Savings Repayment proposal, Iceland says no!

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The UK has been dealt a harsh blow after the Icelandic population overwhelmingly voted against repaying £3.3 billion worth of loans to the UK and Netherlands.

It was on Saturday during the countries first ever referendum as an independent nation that more than 9 in 10 people called for the government to withhold payment while the country tries to start rebuilding its own economy.

Following the collapse of Icesave in 2008 the UK had to compensate savers.

The government wanted to reclaim that money, however they'll have to wait a few weeks until further discussion are held and a debt deal is reached.

If you want to put some money aside or just see what deals are out there, here at Moneyextra.com we do all the hard work for you to make sure you get the best return on your money.

ISAs: Don't let Easter catch you out

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Around 1 in 10 people leave their application for an ISA until the last two days before the tax year ends.

That's why Clydesdale and Yorkshire Banks are urging people who want to make the most of their 2009-10 ISA allowance not to leave it to the last minute.

Concerns have been raised this year more than usual as the deadline for ISA application is on April 5th which is Easter Monday and a bank holiday.

Retail director at Clydesdale Bank, Steve Reid says "The Isa allowance isn't flexible so beat the deadline and pay less tax."

He goes ion to explain that consumers over the age of 50 can place £10,200 in their Isa accounts, while all other savers have access to a £7,200 tax-free allowance.

If you want to put some money into an ISA this year, why not shop around at Moneyextra.com, we so all the hard work for you, to make sure you get the best deal.

ISAs set to gain in popularity

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ISAs are set to get a boost in popularity this year, according to providers Legal & General.

The company believes that individual investment in stocks and shares ISAs will grow when the increase in savings account allowances comes into effect later this year.

Their financial economists also believe interest rates will remain on hold throughout 2010, restricting the returns from cash savings.

Last year retail investors invested around £2.5 million on average every day in Legal & General stocks and shares Individual Savings Accounts. The company is expecting to see significantly higher sales in the coming months.

And several other businesses have launched new ISA deals in preparation for the start of the new financial year.

For example, Leeds Building Society has launched 5 Year Fixed Rate ISA paying 4.60 per cent tax-free with a minimum opening balance of only £1.

If you want to find out more about Individual Savings Accounts then visit Moneyextra.com for all your money needs.

Savings: Brits are having regrets

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A quarter of British people regret not putting more money into their savings accounts over the last year and a half to cope with the effects of the recession.

And almost a third are unhappy about not boosting their savings earlier in their lives, according to recent research from National Savings and Investments.

Another survey carried out by F&C in recent weeks found that a quarter of women aged between 35 and 45 do not have any savings account of their own.

Although savings rates are at historically low levels, the low amounts people are putting away for the future are likely to lead to financial difficulties down the line.

But the NS&I survey did find that the average age at which people get serious about saving is 25, with only a third leaving planning for the future until their 30s or later.

If you're thinking about your future and making the most of your savings accounts, speak to the team at MoneyExtra.com.

Northern Rock lose government guarantee

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If you have savings with Northern Rock, you'll be one of many people to loose the governments' 100 per cent guarantee on your money in three months time.

The guarantee was introduced back in 2007 to try and stop customers hastily withdrawing their money; however the treasury now says that it will be removed on May 24th.

From then on only the first £50,000 of any customers' money will be protected to ensure they wouldn't lose it in the event of the bank collapsing.

Reflecting on the move, which many customers will be unhappy about, Financial services secretary Lord Myners said that he believed the actions of the governments helped protect the saving of millions of families and the jobs of thousands of workers.

If you're thinking about putting some money aside or even switching your current savings account, here at Moneyextra we compare the market for you to make sure you get the best deal.

Savings Accounts are worth comparing!

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With the end of this financial year and the start of next approaching fast, the world of ISAs is gearing up for its busiest season.

The latest survey of the Individual Savings Accounts sector by FundsNetwork suggests that 2010-2011 is going to be a bumper year.

Although savings interest rates remain historically low, many banks and building societies are starting to produce more generous offers in a bid to lure in new customers and get hold of investments from old ones.

The FundsNetwork Adviser Sentiment Index found that, despite widespread confusion about the new ISA limits due to come into effect in April, those in the know are planning to make the most of the additional tax-free savings allowance.

The survey found that three quarters of financial advisers had seen their clients aged over 50 already taking advantage of the increased allowance that came into force in November.

If you want to make sure your savings go as far as they can, why not get in touch with MoneyExtra.com and we’ll make sure your money is working for you.

National Savings: Know your limits.

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National Savings and Investments has found that a quarter of savers are unaware that the limits for investment in Individual Savings Accounts – or ISAs – are going up this April.

Under measures put forward in the 2009 budget, the maximum that can be saved in a cash ISA from April 1st this year is going up to £5,100.

At present, the limits are lower for those aged under 50, but from the start of the new financial year, they will be the same for all.

However, ISAs appear to be bearing the brunt of financial institutions' cuts in saving account interest rates.

The Daily Mail this week revealed that many high street ISA providers have been cutting rates to below the level of inflation.

With that standing at 3.7 per cent, you might be better off putting your money under your mattress than investing in certain savings accounts.

If you need help in identifying the right ISA for you, why not get in touch with us here at Moneyextra.com - we do all the hard work for you to make the most our of your money.

Savings: The level-headed younger generation

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Despite record low interest rates, more than half of Brits believe that the recession has not had a negative impact on their saving habits.That's according to research from Barclays, which found that 17 per cent are actually saving more as a result of the downturn.The survey indicates that younger people have been spurred to save in the current climate, with a quarter of those between 16 and 24 increasing the amount they put away.Andy Gray, head of savings at Barclays, said that the finding was evidence that consumers had changed their money habits as a result of tougher economic times.

Savings interest rates take a plummet

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It looks likely to be another grim few months for savers, after the Bank of England warned it expects inflation to soar above three per cent in the near future.In its Inflation Report, the Bank also indicated that interest rates were likely to remain low for some time, as the UK's economic recovery remains uncertain.The news will not be welcomed by savers, who have already seen rates fall significantly over the last year.All the more reason, then, to come to Moneyextra – where we compare all the deals around to find you the best rate.

Savings: Are you approaching pension age?

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Two fifths of over 55s are failing to save anything each month, a new survey has found.Aviva's Real Retirement Report found that a number of those approaching pension age are hugely underprepared for life away from work.Indeed, the median savings rate for those aged between 55 and 64 was more than £8,500.Unsurprisingly, the survey finds that the biggest worries for over 55s are the rising cost of living, followed by unexpected expenses and the falling return on savings.This all highlights the need to make the most out of your cash while you're still earning– and Moneyextra can help you do just that. We scour the market for the best rates around.

Savings interest rates are falling

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The number of Britons focusing on saving hit a 16-month peak in January, according to a new survey.The finding comes from the Nationwide Savings Index, which saw the number of regular and occasional savers reaching 79 per cent of the public.But while more people seem to be preparing for tough times ahead, more than one fifth are still failing to save any money at all at present.Falling interest rates and soaring inflation have made it more important than ever to make your money work hard for you – and you can do just that by comparing on Moneyextra.com.

National savings and those forgotten accounts

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In a few months' time, money left in dormant savings accounts will be seized by the Government and shared amongst good causes through the Big Lottery Fund.If a savings account is left untouched - ie if no money has been paid in or taken out for 15 years - it's deemed dormant and you'd be surprised how many of those there are in the UK.Up to 500,000 of the 150 million bank and building societies accounts in Britain are unused.It's estimated that as much as £400 million pounds could be eligible for transfer. Moving house can often be to blame, as paperwork disappears to the bottom of cardboard boxes. A common situation is that many children have cash stored in away in accounts opened by their parents without their knowledge.If you're thinking of switching or opening a savings account for you or a family member, here at Moneyextra.com we make comparing them easy to help you make a better decision.

Savings accounts are called to a holt

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Seven in ten people say they won't invest their cash into savings accounts while the Bank of England base rate remains at 0.5 per cent. Fair Investment, an independent financial service provider, claims that more than three quarters of investors would not consider investing in cash in the current climate, preferring to put their money into riskier investment options in hope of better returns. Nick Scarlett head of pensions and investments at Fair Investment Company says "with the average cash ISA rate at just 2.12 pr cent and easy access savings accounts paying just 0.76 per cent on average, it's no wonder that most people looking to invest are steering away from cash in order to get better returns". If you need a little help on how to make the most out of your money, here at Moneyextra.com we can do all the hard work for you and make sure you get the best return.

Saving interest rates can now be tax free

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Savers could actually benefit from the plummeting rates available at the moment if they're pushed under the interest paid tax zone.It's been claimed more people should qualify for tax free status on their savings interest and that could help cushion the impact of rate cuts.An industry expert is urging savers, particularly older ones who rely on interest from their savings to top up their pension, to take a fresh look at their savings accounts and see if falling rates may tip them below their annual tax free threshold. Falling interest rates over the past 18 months have undoubtedly caused financial hardship to those who depend on their saving, here at Moneyextra.com we compare lots of rates and savings accounts to make sure your money works hard for you.

Best savings rates called up by SOS

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A lobby group is asking consumers to back their petition to help improve conditions for UK savers.Save Our Savers say their fighting on behalf of 30 million savers in Britain and says one of their aims is for savers to receive the first £5,000 of any interest tax free.70 year old Peter Duckworth whose a retired entrepreneur has put £500,000 into the campaign and hopes that it will demonstrate that savers voices should be heard.The Mail reports that SOS also want legislation brought in to protect savers from extreme 'rate shock' when savings rates plummet.Mr Duckworth says "Savers are vital for the economy and the fabric of society, but there has never been a place where they can unite to fight their particular interest and have a shared voice".Here at Moneyextra.com we compare lots of different savings accounts and rates to make sure your money works as hard as it can for you.

Best savings rates: Competition returns

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As a slight level of competition returns to the UK savings market, some people sitting on nest eggs are considering locking in savings rates but there's questions over whether this is the right thing to do.The rate of inflation is the main factor which will impact upon the value of savings and savings rates.This rose significantly in December hitting a high of 2.9 per cent, which many analysts' said was way above what they expected.This means we could see UK base rates move higher in the short term which in tern will bump up UK savings rates.However, if rates do fall, as the Bank of England expects, we could see the base rate stay at 0.5 per cent for most of 2010.At Moneyextra we want your cash to work hard for you, that's why we compare lots of different accounts and rates to get you the best deal.

Saving accounts can't be forgotten about

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People are being urged to check for any savings accounts that they haven’t used for a while.Anyone with an account that hasn’t been accessed for over 15 years could lose their cash.The Government is warning it will take control of dormant money.Now savers are being told to use tracing services to make sure they keep hold of any cash cows they might not know about.Banks and building societies estimate there’s around £400m in dormant accounts which could be transferred to the fund.If you're looking for somewhere to keep your nest-egg safe, at MoneyExtra.com we make sure we find the best deal to make your money work for you.

Best saving rates Vs ISAs

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Cash Isa interest rates are now so low that it's barely worth saving in them, according to a product comparison site. Compared with the interest rates of standard taxed savings accounts, the ISA is losing its appeal for savers. The announcement that inflation (as measured by the consumer price index (CPI)) has risen to 2.9% also means that virtually all cash Isa savers - and plenty of standard savers too – are threatened with declining value of their money. Although cash ISAs have always benefited from tax-free earnings and higher interest rates than non-Isa savings accounts, the situation has turned on its head. There are now many cases of standard savings accounts paying more interest than ISAs. Money expert, Andrew Haggar, says the net return from best buy Isa products compared with best buy taxable savings accounts makes you "question if it's worth the effort for basic rate taxpayers".

Compare saving accounts to tackle inflation

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The latest inflation figures haven't brought good news for savers, as they revealed an unexpected rise in the cost of living.The consumer price index (CPI), the country's official measure of inflation, jumped from 1.90 per cent to a nine-month high of 2.90 per cent in December.The retail price index (RPI), which includes housing costs, soared from 0.30 per cent to 2.40 per cent. What it means for savers is that their money is worth less. A money expert says basic rate taxpayers need to be earning 3.63 per cent or more on their savings in order to make up for the impact of tax and inflation.People in the higher rate tax band need an account paying 4.84 per cent.But with the Bank of England base rate at a record low of 0.50 per cent, this is hard to come by. Comparing savings accounts could find the best saving account for you.

Saving accounts keeps your money safe

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An elderly woman who was robbed of her savings has been refunded by Halifax. £4,600 was stolen from Violet Burnejko and her daughter shortly after she'd taken the money out of her Christmas savings account at the bank in Oxford back in December. Although the bank haven't admitted liability they have compensated the 84 year old as a goodwill gesture. Her granddaughter, Samantha Holmes, says they're overjoyed. Meanwhile a spokesman for the bank says they will improve the privacy of the interview rooms at the branch, although police don't know whether the robbers saw the women taking the money out of the bank. If you're looking for somewhere to save for the future, here at MoneyExtra we search for the best rates around to make sure your money works hard for you.

Older women not taking savings seriously

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Growing numbers of older women in Britain now live on their own, embrace new technology and are learning new skills. But research by the Department for Work and Pensions also found more than a quarter of women over 50 have no financial plan for retirement, and don't see savings as a priority. Instead more and more of the estimated 600,000 spinsters, widows or divorcees are focussing on dating, social networking, keeping fit, with one in four describing it as the happiest time of their adult lives. Personal finance experts are now calling on single women over 50 - known as Swofties - to take stock of their financial situation, and make sure they have a nest-egg in place for the future.If you do want to put some money away for your future, here at Moneyextra.com we make sure your money works hard for you and search the best rates around so you don't have to.

Life savings lost after being hidden in shoes

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A man in Romania lost his life savings, after keeping them in his shoes, rather than a savings account. He had hidden £36,000 in a pair of shoes, without telling his wife. She found them while clearing out their house before Christmas, and threw the shoes away. Her husband only realised what had happened a few days later, by which time most of the money had already been spent. Police tracked a woman down who'd found the shoes, and discovered she had bought a £20,000 cottage with the money. The family have only got back £27,000 of the money they lost.

Savings decline as household costs increase

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Families have less money to put into savings or pay off debts, as spending on food, travel, gas and electricity goes up. The Office of National Statistics has published its latest report into family spending with the figures for 2008. It found while Brits spent less on clothing and footwear than for nearly a decade, almost everything else went up, with transport remaining the single largest expense at an average of £63.40 a week. The amount being set aside by the average family for savings and investments dropped to just £5.70 per week out of their £460 budget, 50 pence less than the year before. The ONS says there are huge variations though depending on occupation age and class, with the richest 10 per cent of households spending seven times as much as the poorest.At Moneyextra.com we compare lots of different rates so that you get the best deal.

Christmas meant savings were put on hold

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The number of people putting money aside or into savings accounts declined during December.That's according to Nationwide's Savings Index which says a quarter of those polled admitted to saving nothing during December, an increase of one per cent compared to November.However nearly half of people say they currently put money aside regularly into a UK savings account.Nationwide said savings could have been less of a priority in December as people took to the streets to purchase gifts.The return to 17.5 per cent VAT may also be a reason for people buying and not saving during the period.If you want to make sure your nest egg works hard for you, here at Moneyextra.com we can do all the hard work for you by comparing loads of different savings accounts and rates to get you the best deal.

Small savers should be rewarded with better rates

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The Financial Times reports that as the dust settles on the credit crunch, policyholders and pension savers have escaped the worst of the tough times, but the crisis has lest interest rates historically low, which isn't great for depositors and savers.Pensions and insurance investments can earn between 3 per cent and 4 per cent annually, however the cost of operating a savings contract can be up to 2 per cent year, which leave s only around 2 per cent annually for the saver.A panel of senior insurers and actuaries in the UK agreed that, while the short-term future for investments was uncertain, consumers would still need the protection provided by pensions and life assurance and there were strong prospects for growth.If you wan to put some money away for your future, here at Moneyextra.com we make sure your money works hard for you, we search the best rates around so you don't have to.

NEST could offer pension saving solution

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An expert claims a number of the country's employers may adopt the National Employment Savings Trust (NEST) scheme if it succeeds in it's aims.Marc Hommel UK Pensions Leader, noted that the desire felt by a lot of companies to offer engaging pension savings provision to their staff.With regards to the NEST initiative he commented "While delivering a low cost, simple and credible scheme will be a challenge, if it proves durable, NEST could become the preferred workplace retirement savings vehicle for many UK employers".He went on to say that it could be an option for both larger and smaller companies.At Moneyextra.com we compare many different pension savings schemes to ensure that your retirement fund works hard for you.

Offshore declaration causes rush of account holders

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Days after the deadline for declaring money in offshore savings accounts and current accounts, HMRC say that almost 10,000 people have come forward to declare all.People had until 5pm on Monday 4th January with over1000 individuals choosing to make their declaration on the day itself.Anyone who hasn't provided details of offshore savings and or current accounts will now face investigations with 100 per cent penalties and possible even prosecution.Stephen Timms, financial secretary to the Treasury, commented that hiding money in offshore accounts to evade tax is "economically and morally unacceptable". If you want to put some money away, here at Moneyextra.com we compare the best rates to make sure your money works hard for you and gives you the best return.

Pension savings deteriorating

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It's claimed 9 out of 10 defined benefit pension schemes are now closed to new entrants as employers continue to move away from the high cost schemes.The Association of Consulting Actuaries asked question to 309 firms say 91 per cent of such schemes are now in deficit.The BBC reports how the Government says it's trying to cut regulatory burdens on company pensions.ACA Chairman Keith Barton said these were "worrying times" for those nearing retirement and called for a 'radical change of approach'.He went on to say that "Just 6% of employers responding to the survey say they feel the government's stated policy of supporting quality workplace pensions is working, down from 38% two years ago".The Department for Work and Pensions said its pension reforms were "radical" and that when automatic enrolments into workplace pensions begin in 2012, 11 million workers would have the chance to save with a new minimum employer contribution.

Recession sees parents raid kids savings

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A survey has found some parents are resorting to dipping into their children’s savings to help them through the recession.Child Trust Fund Provider Engage Mutual Assurance questioned around 3000 mums and dads.They found one in five have used their kids cash with 44% taking between £200 and £500.Some admitted to borrowing as much as £5000.A large proportion of those who had taken a ‘loan’ said it was to help towards the bills, a fifth said it was to pay for an unexpected car repair and 14% said the money was used for a family holiday.Most said they intended to pay the money back.

Rising inflation puts savings in danger

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Brits now need to earn at least 2.38 per cent interest on their savings, to make up for inflation.Rising inflation threatens to shrink savings in real terms, so savers need to keep an eye on the best interest rates.Latest figures show the Consumer Price Index (CPI) – that's a measure of inflation – rose sharply from 1.5 per cent to 1.9 per cent in November. Higher-rate taxpayers will need to find an account paying even more, at least 3.17 per cent.And experts predict that inflation could rise further over the coming months so get the best savings rates available.A foreign exchange specialist expects figures to continue climbing, as rising oil prices, a weaker pound and the reversal in VAT cause 'inflationary pressure'.

Fear of redundancy boosts savings

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The disposable income of UK households has dropped sharply in the downturn but low interest rates have saved many from debt problems, a report suggests.A self-preserving attitude to savings was partly triggered by a fear of redundancy, according to the Bank of England.The survey asked people about their income after paying tax, housing costs, loan payments and utility bills.For the first time, the survey polled householders about whether they had increased, or were planning to, raise their level of savings and why. About a quarter said that their savings were going up.Fear of redundancy, wanting to reduce debts and extra disposable income were the main reasons for doing so.According to the report, renters are the least likely to save more: This could be because they tend to have lower incomes and so less scope to boost their savings pot.

Despite Higher rates of interest we still aren’t saving

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The amount of money people in Britain are saving has remained static despite the recession, a governments report has confirmed.New stats from the National Savings and Investments have revealed that Britons are only putting aside the same amount of money as they did before the recession, despite many analysts believing that the economic downturn would lead to a big increase.People are also planning to save less for the future, the amount people save from their take home income has also remained stationary at 6.06 per cent savings interest rates in 2009, compared to 6.02 per cent in 2005.However as an overall figure, people are actually saving more according to NS&I, with the average monthly amount saved rising to £83.87 from £70.23.At Moneyextra.com we make sure your money works hard for you. Whether you want to put a small or large amount aside for your future, we compare the best savings rates deals for you.

Hoarding means savings accounts take a hit

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A "loss in confidence" in banks is seeing a decline in national savings as people choose to keep cash in their homes, a Bank of England (BoE) executive has claimed.Andrew Bailey, executive director of banking and chief cashier, says the value of £50 notes in circulation has risen from £7bn in 2007 to £9bn today.The total value of banknotes currently being used in the UK has increased to 3.2 per cent of GDP, up from 2.4 per cent in the 1990s.And what do these figures mean? That more and more people are choosing to hoard their money at home.Low interest rates on savings could have contributed to the trend, especially since the BoE cut its lending rate to an all-time low of 0.5 per cent.Competition between providers has led to the launch of many best-buy savings account deals.