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British Savers Disillusioned by Rip Off Banks

New research has revealed that 95% of British savers feel ripped off by their banks with the average interest rates now at 0.69%; 4.44% lower than three years ago
Finance - 29 September 2010   Download IconContent available for download:  
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New research reveals that 95% of Brits believe that savers are being ripped off by banks, with 60% feeling robbed because they are not getting anything for their money. Latest figures show that there are currently 20,646,000 active ISA accounts on which the typical interest rate is now just 0.69%, 4.44% lower than at the same time in three years ago.

Only a quarter of UK Adults have no financial investments, with 55% of adults having deposited money in cash savings accounts and in cash ISAs. Cash savings deposits over the past decade (2000-2009) total £558 billion (2000-2009), with 68% being held by the banks.

There are currently 3,959,000 Child Trust Fund (CFT) accounts in the UK, with latest figures suggesting a further 659,000 CTF accounts were opened over a 12 month period. The average deposit over the year was £278.

. Introduction:

This British Savings Week, new research reveals that nearly every British saver feels ripped off by their bank, with many feeling robbed because they are not getting any return on their money. Rates are at record lows, leaving savers confused about how best to get their money working for them. This is especially important for parents planning for their children’s futures. Over 650,000 new child trust fund accounts are opened annually, with parents saving around £278 a year.

So how can concerned parents and savers better understand the savings market when the rules keep changing?

Joining us to discuss this further is Rachel Lacey, a finance expert from Moneywise.

. Suggested Questions:

What does the research reveal about saving issues in our area?

Why is it so important to understand how the savings market may change?

Why are so many savers feeling let down by their bank?

What impact does this have on parents who are saving for their children’s future?

What advice can you give to those who currently have savings earning low interest and others who are planning to start saving?

Where can we find out more information?