ISA savings war benefits consumers
26th September 2008
The general public continues to benefit from an ongoing savings war among financial institutions, it has been claimed.
Industry website FinancialAdvice.co.uk found that the credit crunch is having an unexpected positive impact on savers, with banks keener than ever to attract new customers.
Financial institutions have been wary of lending to each other ever since the US subprime property crash last summer, with a spate of recent high-profile bank failures only adding to tensions.
As a consequence, enticing well-to-do consumers with higher interest rates has become the favoured way of shoring up access to funds, creating several opportunities for savvy savers.
The Guardian cited the case of Barclays' Tax Haven ISA product, which features an interest rate of 6.08 per cent.
Other popular taxable offerings include Kaupthing Edge's industry-leading 6.55 per cent product, as well as Darlington building society's Monthly Supersaver - which offers a rate of eight per cent with regular deposit conditions.
Meanwhile, Barclays' Monthly Savings also offers an attractive 7.49 per cent rate for monthly deposits of between £20 and £250.