Making money go further will no doubt be a priority for many as they cope with the coronavirus (COVID-19) crisis. This week, Martin Lewis addressed the current interest rates out there for savers.
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During the instalment, Martin addressed different savings news, grouping the information into what he called “the good, the bad, and the ugly”.
He said: “NS&I, the state-owned financial institution was due to cut rates on Premium Bonds and Income Saver and Direct Saver in May – [but the changes have been] cancelled.
“So, Premium Bonds stay at 1.4 percent.”
The financial journalist and founder of Money Saving Expert went on to address the top easy access savings accounts.
“The bad: Last week I told you easy access accounts are holding up pretty well at 1.3 percent, but they may drop,” he said.
“They have dropped, but only to 1.2 percent and the fact that that is a cut after the Base Rate has fallen means you’ve probably got some stability there.”
Highlighting the particular accounts he was talking about, he continued: “That’s Marcus and Saga which are sister banks at 1.2 percent.”
For savers not looking to access their money for the upcoming year, Mr Lewis addressed another option.
He explained that the top one year fixed account is currently offering a 1.6 percent interest rate.
However, Mr Lewis urged those interested to be aware that it may not last for long.
He said: “The top one year fix where you lock your money in, Vanquis at 1.6 percent is still there, but I doubt for much longer. So, if you want that, I’d go pretty quickly.”
Martin also addressed how 180 savings accounts were pulled in March, according to research by Moneyfacts.
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Urging savers to make their money go further, he pointed out the average interest rates which most people are getting on their savings.
“The average rate most people are earning now is just 0.4 percent which is why you should at least be going for the top easy access accounts,” he added.
Elsewhere yesterday, Martin addressed the possibility of cutting costs on energy bills.
Speaking on This Morning, he said: “Just to say, you’ll have heard in the news that oil prices went negative last week. At some point, companies were having to pay to store oil because they couldn’t sell it.
“That has massively brought oil prices down. The energy prices aren’t totally about oil prices but a lot of it is.
“So, we’re seeing cheap energy deals for switchers only.
“Your energy deal won’t get cheaper unless you go and do a comparison and find the switchers’ deals.
“They’re at three-year lows. Most people can cut £350 a year off your bill. If you’re sitting at home [see if you can] switch.”
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