Plenty of people have gone through the process of comparing savings accounts in order to find the one that offers the most in interest. However once they’ve grabbed the best deal on the market, they forget all about that account until they have the need to withdraw some of the cash.
While this is understandable it’s not always the best way to go about things. Here are three reasons why you need to keep more regular tabs on your money, wherever you’ve got it tucked away.
How much interest are you earning?
Newly-issued accounts tend to have the best rates of interest (and the highest degree of visibility in the marketplace). Is it any wonder there are plenty of savings accounts out there with minimal interest rates that are gathering dust because their owners have forgotten about them?
Even if you haven’t forgotten about your savings you may not be aware of the current rate of interest available on it. Maybe it’s time you checked to see how much you’re getting for being loyal to a particular provider.
Are there better deals out there today?
In most cases the answer will be yes. Unless you have only just opened a savings account at a good rate, there are bound to be other accounts out there that have better interest rates. Don’t delay taking advantage of them, especially if you’ve had your existing account for quite a while.
You can compare pretty easily online thanks to a number of comparison websites. However you should check any providers that aren’t included on these sites individually to gain a proper picture.
Are they still serving the purpose they were intended for?
We open savings accounts for all kinds of reasons. Sometimes you might feel you want to take advantage of a particularly good deal. Other times you may want to set one up to enable you to save for a long-term goal. There could be a myriad of other reasons why you’ve set up a savings account in the past too.
However it is worth checking periodically to make sure the aims you had in mind when opening that account are still being met by it. For example, maybe you had a certain account because it provided a bonus if you didn’t make any withdrawals in the first five years (just as an example). If that’s not working for you anymore, you may want to change to a different account.
As you can see there are several things to consider here. It makes sense to ensure you keep an eye on that savings account you have, just to ensure it does still tick all the boxes you had in mind for it when you opened it. In some cases you might be okay with an account for a few years, while in others you may want to move on pretty quickly. The key is to know which applies in your case, and to keep tabs on what is going on at all times.