UNITED Trust Bank (UTB) is supporting the third UK Savings Week and urging charities, businesses and consumers to check their deposits are earning a competitive interest rate.
This year, the theme of UK Savings Week is to promote the benefits of having and actively managing savings. The overarching campaign aims are to help people build their financial resilience by finding a way to save that works for them and to encourage those with savings to actively engage and manage their savings to make them work as hard as possible.
Research commissioned by UTB earlier this year found that UK charities could boost their incomes by over £377m a year just by earning an extra 0.5% interest on their £75.57 billion of cash reserves. The additional revenue raised would equate to the money raised by nearly six London Marathons a year.
Savings. They’re what you make of them…
It appears that once savers have opened savings accounts, many of them don’t bother to check if their savings provider is paying a competitive interest rate and could be losing out on extra interest for years if they happen to have chosen a poor paying provider and don’t review the rates regularly. The same could easily apply to UK charities and businesses.
Research commissioned for UK Savings Week revealed that an incredible 41% of UK adults are still with the same savings provider they opened their first account with as a child. Meanwhile, 28% of UK adults hold most of their savings in a current account. 31% of UK adults NEVER compare the interest rate on their savings account to other accounts available.
UTB USP – Immediate access to up to 20% of the balance on Notice Accounts
In response to charities wishing to make more of their cash reserves whilst also satisfying their liquidity needs, UTB has introduced what it believes to be a unique feature amongst UK Notice Charity Deposit accounts. Once per year, account holders can withdraw up to 20% of their Notice Account balance without notice and without penalty, enabling them to benefit from higher rates of interest whilst allowing them to respond to unplanned or emergency situations quickly.
Brian Todd, Head of Deposits at United Trust Bank, commented:
“UTB is delighted to be supporting UK Savings Week again this year and fully endorses the campaign’s aim to get people checking that their savings accounts are paying a competitive interest rate.
“However, this message is just as relevant to charities and businesses, as the rewards for switching to a better-paying account are there to be seen – more income for very little effort! The difference between the most and least competitive rates available can be substantial and with charities constantly looking for ways to increase donations, many may not realise how much extra revenue they could generate by getting the cash they already have working harder.
“We believe that UTB’s feature of enabling charities to withdraw up to 20% of their Notice account balances once a year without notice or penalty, makes it easier for finance managers and treasurers to make more of their surplus funds, whilst retaining important liquidity.”
The information contained in this news release shouldn’t be considered as financial advice and if you’re unsure about how to manage your savings, please seek advice from a professional financial advisor.
For more information, please visit: https://www.utbank.co.uk/deposits/.
