For anyone who has put off rebuilding personal savings, news that several institutions have increased interest rates may be just the incentive they need.
Both Abbey and the Newcastle Building Society recently announced rate increases that make the prospect of saving much more attractive than it was a few months ago. In fact, the rise in rates is the first one in over eight months.
The rise in rates points to the growing competition among lenders to capture the attention and the business of consumers. Along with the rate increase, additional benefits such as more lenient withdrawal procedures may also help attract new customers.
The increase comes at a time when many people are attempting to move past the ill effects of the recession and begin repairing their finances. While also considering the idea of restocking dwindled savings, many consumers are also looking for creative ways to get the best deal on a mortgage, as well as retire the car loan as soon as possible.
Still, the lure of better rates may convince some consumers to divert a portion of their income into savings now rather than later. If you are currently in the process of getting back on your feet and can reasonably afford to re-establish your savings now, the time has never been better. Check with financial institutions and determine which deals are likely to be worth your while in the long run. A year or so from now, you may be very happy that you took the time to do so.
Tags: Abbey, car loan, mortgage, Newcastle Building Society, savings
