Chasing the best interest rate

Should I be switching bank accounts for savings every year to chase the best interest rates for savings? It seems easy to do but ends up with having loads of accounts?

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  • surreysaver
    surreysaver Posts: 3,987
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    That's what we're all doing 
    I consider myself to be a male feminist. Is that allowed?
  • amanda1024
    amanda1024 Posts: 246
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    You don't necessarily have to keep them all open once you've moved the money out. If you go through the switching process (to get switching rewards) the old account generally gets closed automatically 
  • born_again
    born_again Posts: 13,665
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    You don't necessarily have to keep them all open once you've moved the money out. If you go through the switching process (to get switching rewards) the old account generally gets closed automatically 
    Only current account, not any savings accounts.
    So savings need to be manually closed 👍
    Life in the slow lane
  • ColdIron
    ColdIron Posts: 8,677
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    edited 4 February at 11:04AM
    FeeCorner said:
    Should I be switching bank accounts for savings every year to chase the best interest rates for savings?
    These are often two different things. People will switch current accounts for the bonus but they rarely pay good rates. People will open savings accounts for good rates and while some of them require a current account many don't
    So what do you have in mind, the best interest rates or the bonus?
  • Albermarle
    Albermarle Posts: 21,169
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    FeeCorner said:
    Should I be switching bank accounts for savings every year to chase the best interest rates for savings? It seems easy to do but ends up with having loads of accounts?
    Regarding savings accounts, yes you should be regularly monitoring that you are getting decent rates, and be prepared to switch as and when necessary. Often you can move accounts but stay with the same provider which is easier. 

    However should you be looking to switch and open new accounts on a weekly/monthly basis to chase the latest 0.1% increase in rates? This is more debatable. Some people do and have many different live and dormant accounts.  However it can be a lot of effort for a limited reward, so not everybody's cup of tea.

  • jimexbox
    jimexbox Posts: 12,397
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    FeeCorner said:
    Should I be switching bank accounts for savings every year to chase the best interest rates for savings? It seems easy to do but ends up with having loads of accounts?
    Keep one account for direct debits. Then move everything else as the best accounts change. 
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