Savings Account

thenextmcfadden

Can anyone recommend me a good savings account. I work in a minimum wage, hourly rate job, and have no savings at the moment. How much I can invest depends on how much I work in the month. Some months I will not be able to deposit anything, other months I could have up to £100 to deposit. Most of the accounts I have come across seem to require a set monthly direct debit, which I am reluctant to do. Any advice would be much appreciated. Cheers.

Loughton_Monkey

http://www.moneysavingexpert.com/savings/savings-accounts-best-interest

VT82

With what is a relatively low amount (no offence), the interest you earn on your savings, whatever the rate, will be fairly negligible for a while. By all means chase the best rate, so you don't rue missing out on interest, but things like saving a couple of quid by making your sandwiches at home instead of buying them at work will have a much bigger impact on the growth of your savings.

Similarly, something like getting Halifax's £5 per month reward will be a much bigger reward than interest on your savings. Even if you don't EARN £1,000 per month, you can meet the criteria by withdrawing money and paying it back in (or doing this electronically if you have another account with them or someone else). Plus I think you can get £50/£60 for switching to them.

As you are going to save as well, I would start with an instant access ISA. Halifax would also be one of the best for this (or the best if you have your current account with them and meet the £1,000 per month criteria). This will only be the case for a year, so you would want to switch after that.