Alternatives to saving in a bank

bizdustry

Storing my money in a Nationwide savings account is pointless with the amount of interest they pay inline with the bank of England rates. Any good alternatives?

MovingForwards

Have a look through the first few pages of this:
https://forums.moneysavingexpert.com/discussion/6106986/regular-savings-accounts-the-best-currently-available-list/p1

bizdustry

MovingForwards said:

Have a look through the first few pages of this:
https://forums.moneysavingexpert.com/discussion/6106986/regular-savings-accounts-the-best-currently-available-list/p1

Thank you!

Steve182

Do you need to save, or can you afford to invest?

Savings generally means banks or PB's @ <1% 
Investments (for 5+ years) generally means stock market at typically 6 to 7% PA average over 10+ years

Zanderman

If you're saving with Nationwide you're already saving in an alternative to a bank as Nwide is a building society, not a bank.

But, pedantics aside, you're quite right, their interest rates are woeful.

The savings lists as linked above are always worth keeping an eye on, moving money to better accounts if they suit you better. 

And, if you really did want 'alternatives to banks' you might look at the Credit Unions - which have the same FSCS protection as banks.  Sadly most of those offer dire rates too but a few have out-performed in recent years, notably Commsave.  However you do need to be part of their 'common bond' to be a member (usually geographic and/or profession) and most, including Commsave, won't announce the interest rate until the end of the year, so you don't know in advance what you'll get.  Not ideal by any means, and interest rates may be just as low, but definitely not a bank!

https://www.moneysavingexpert.com/loans/credit-unions/
https://www.findyourcreditunion.co.uk/find-your-credit-union/

LHW99

There are also Sharia acounts. Although they come from banks like Al Ryan, they don't work by offering interest, but an expected profit rate, which isn't guaranteed but usually met, and can be better than normal savings accounts

This ia an old link (so rate will have no doubt dropped), but explains them

https://www.moneysavingexpert.com/news/2019/09/al-rayan-bank-launches-tale-topping-savings-account---here-s-wha/

dunroving

bizdustry said:

Storing my money in a Nationwide savings account is pointless with the amount of interest they pay inline with the bank of England rates. Any good alternatives?

Premium Bonds.