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Should you switch your savings to a top rate in 2021?


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Is it worth switching your savings account to a higher rate in 2021?
Published: 06/01/2021
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2020 ended with savings rates at historic lows but will 2021 bring better rates for savers and is it worth switching your savings account?
Data from the Bank of England shows there is £215 billion held in savings accounts paying zero rates of interest. During 2020 many people became accidental savers due to lockdowns and regional restrictions that limited their spending. As a result, there was £150 billion saved into cash savings accounts during last year. By October 2020 savings balances had reached £111 billion compared to £45 billion in October 2019.
While savings rates at the start of 2021 remain depressed compared to previous years, those earning no interest or low interest on their savings could instead be earning up to 1.00% on a one-year fixed rate bond or 0.75% with an easy access account. ....

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