Savings and ISAs

Making sense of savings

Saving for your future is important, but with so many product and providers, how do you find the best savings solutions for you? There are many factors to consider when making your decisions - here we provide some suggestions to help you decide.

Have you set your savings goals?

There are many reasons to save - for a big purchase, for a rainy day fund, for your future security. Whatever your plans for the future, it will help to set clear targets and timescales.

Ask yourself:

• What do you want to achieve with your savings?
• How much can you comfortably put aside per month?
• How much do you need to save?
• When do you need to reach your goal?
• What other factors could have an impact on your savings plans?

Does the account offer the flexibility you need?

Savings accounts are most effective when you pay in regular amounts over the medium to long-term. But even if you have a clear savings goal, you may find that your plans change, so having a savings product that allows you access to your money can be helpful. However, you may find that this type of product does not offer you the growth you need. Thankfully, there are a number of options available to suit your particular circumstances:

• Regular savings accounts
  designed for the long-term saver, these accounts offer competitive rates and are the best choice if you can commit to saving a regular amount each month
• Fixed rate bonds
  these bonds offer the certainty of a rate that stays fixed, no matter what happens in the markets
• ISAs
  these come in a range of options, from fixed term and fixed rate to variable rate and easy access. They help you take advantage of your tax-free allowance.