Savers attracted by bonus rates
Nine out of the top 10 easy access savings accounts use introductory bonuses to boost their headline rate, research shows.
The bonuses offered by the leading easy access accounts range from 0.69% to 2.31%, and they typically last for 12 months, according to financial website moneysupermarket.com.
The group said the tactic of using an introductory bonus to inflate the headline rate being offered had grown in popularity since the Bank of England base rate was slashed, as record low interest rates were preventing banks and building societies from offering high returns.
But it added that the move was not necessarily bad news for consumers, as savers could take advantage of the higher introductory rates, as long as they remembered to move their money elsewhere when the bonus ended.
West Bromwich Building Society is currently offering the best easy access account with a rate of 2.9%, but this includes a bonus of 1%.
Alliance & Leicester has the third best deal on one of the accounts with a rate of 2.83%, including a 2.31% bonus for the first 12 months.
The only provider to have a top 10 easy access account that does not include a bonus is ING Direct, which is paying interest of 2.75% on minimum deposits of £1.
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