International saving accounts?

iAMaLONDONER

Can I open savings accounts in other countries with higher interest rates? (enough to offset any losses in currency exchange rates)

Any ideas or recommendations?

grey_gym_sock

basically, that's gambling.

higher interest rates in another currency generally reflect expectations that inflation will be higher, and that the other currency will fall. the actual movements in exchange rates may be very different - nobody can predict them most of the time - and you can win or lose on that, by a far larger amount than you win on higher interest rates.

if you're happy to embrace some risk in exchange for higher returns, then consider putting some money in funds or investment trusts, which invest it in shares.

innovate

Exchange rates are probably the least of the risks you would take, although they could have a considerable impact, and they are entirely unpredictable.

Of more importance when considering the risks is the safety of your money. I.e. is there an equivalent to the FSCS guarantee, and does that guarantee apply to non-residents/non-citizens.

You might also hit language issues. Not everyone speaks english, and very few foreign banks will have english websites. Not to talk of the language their T&Cs will be in.

These are just some of the considerations before you even get to whether they'd take non-residents / non-citizens on.

iAMaLONDONER

innovate wrote: »

Exchange rates are probably the least of the risks you would take, although they could have a considerable impact, and they are entirely unpredictable.

Of more importance when considering the risks is the safety of your money. I.e. is there an equivalent to the FSCS guarantee, and does that guarantee apply to non-residents/non-citizens.

You might also hit language issues. Not everyone speaks english, and very few foreign banks will have english websites. Not to talk of the language their T&Cs will be in.

These are just some of the considerations before you even get to whether they'd take non-residents / non-citizens on.

Very True but I was thinking of say US , Canada,etc

I hadn't even thought of deposit guarantee!

iAMaLONDONER

grey_gym_sock wrote: »

basically, that's gambling.

higher interest rates in another currency generally reflect expectations that inflation will be higher, and that the other currency will fall. the actual movements in exchange rates may be very different - nobody can predict them most of the time - and you can win or lose on that, by a far larger amount than you win on higher interest rates.

if you're happy to embrace some risk in exchange for higher returns, then consider putting some money in funds or investment trusts, which invest it in shares.

Not really gambling?

I'll keep my initial investment

But I don't wan to pay any fees

innovate

iAMaLONDONER wrote: »

Very True but I was thinking of say US , Canada,etc

I thought you said you were looking at other countries with higher interest rates?

iAMaLONDONER wrote: »

I'll keep my initial investment

But I don't wan to pay any fees

You have no guarantee at all that you will keep your initial sum. And you will pay fees, since no bank or other outfit will exchange money for free. So you will pay on the way out, and on the way back.