Share account vs deposit account

caper7
Forumite Posts: 126
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A question regarding opening a savings account with Furness building society.
I note it says it is actually a share account not a deposit account.
Have had a quick Google regarding the difference, but does it matter?
Should one be concerned, are there any potential issues to be aware of?
Thanks.
I note it says it is actually a share account not a deposit account.
Have had a quick Google regarding the difference, but does it matter?
Should one be concerned, are there any potential issues to be aware of?
Thanks.
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Comments
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caper7 said:A question regarding opening a savings account with Furness building society.
I note it says it is actually a share account not a deposit account.
Have had a quick Google regarding the difference, but does it matter?
Should one be concerned, are there any potential issues to be aware of?
Thanks.1 -
caper7 said:A question regarding opening a savings account with Furness building society.
I note it says it is actually a share account not a deposit account.
Have had a quick Google regarding the difference, but does it matter?
Should one be concerned, are there any potential issues to be aware of?
Thanks.
Just as a PS, I know that there is a certain sort of saver who darts to the highest interest rate at any given time ( currently Furness last time I looked). But the better thing to do, IMHO, is to put your savings into Banks/BSs that have a continual and regular place in the Top 5 interest payers. In a month, no-one will even remember Furness because they are a "one hit wonder" and interest rates will go higher with other banks/BSs which are always near the top 5 or top 10 will still be popular with better interest rates.
Of far more concern to any easy access saver should be the fact that Furness only allows 3 withdrawals per year ( which is always likely with easy access accounts---that's mainly why easy access accounts are used). Why not take a look at Banks/BSs which are always in or around the Top 10 EVERY month over a long period. Personally, I have had over £100,000 in Shawbrook ( which has a history of being one of the top high interest accounts, is currently number 2 in the charts and allows its customer as many withdrawals as they wish.
Good luck with your savings. Best wishes.1 -
The only time I hyave come across share vs deposit account was with a credit union. With them, only their deposit accounts, not their share accounts, were FSCS protected.Having had a closer look at the Furness account, it looks as if you get FSCS protection regardless of whether it's a share or a deposit account. The only difference with Furness seems to be that you become a member if you take out a share account, whilst people with deposit accounts are not members. If I were to apply for this account, I would want them to confirm my understanding before making a deposit.
It seems quite weird that they are apparently prohibited to offer this account as a deposit account. Can anyone explain this?1
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