22nd October 2015
Comparison service Savings Champion has created a free online tool to help businesses identify the best savings account. The launch of the tool coincides with the publication of a critical report in savings accounts generally from the Competition and Markets Authority which called for a comparison service for business customers.
Anna Bowes, director of SavingsChampion.co.uk, says: “We recognise that business customers are seriously underserved by their banks and so welcome the findings from the CMA investigation. But the issue is bigger than just a reluctance to switch business bank accounts. Too many businesses leave too much money languishing with their banks, when they could be earning so much more in interest by moving that money to a savings account.”
Bowes says that simply switching to an easy access account could earn an additional £1,100 on £100,000 deposited – but still with virtually immediate access to the funds. She says that if the business doesn’t need immediate access, they could earn far more – up to £3,110 gross per year.
“Just like personal savings accounts, it’s important to be vigilant and to transfer savings accounts once the rate becomes uncompetitive. Opening a business savings account can involve more administration, although some of the Challenger Banks, such as Aldermore and Hampshire Trust Bank are making this process far easier with electronic checks,” she adds.