 The cost of living crisis is continuing to affect us all, with millions of people struggling to make ends meet as the cost of food, bills and essentials soars. With that in mind it's no wonder many of us may be wanting to fall back on our savings to be able to pay our way – or even open a new savings account giventhe rates for these have improved after the constant Bank of England interest rate hikes. Even Martin Lewis has offered his advice on making the most of your savings, saying searching for the best rates could result in gains of hundreds of pounds of interest in people's savings accounts. Speaking on the latest episode of The Martin Lewis Podcast on BBC Sounds, Martin said: 'It's time for millions to reopen cash ISAs. 'The top pay 5.7%, and with rates rising, anyone with £8,000 in savings, check now if your money's in a cash ISA. 'Cash ISAs usually pay slightly less than the equivalent normal savings. So it's only for those people who would pay tax.' Just what is a savings account though, and if you're looking to invest which one should you consider? Read on to find out more… What is a savings account? A savings account is a separate bank account which allows you to put a certain amount of money away and earn interest on it. You might want to do this for any number of reasons, from saving up for a deposit on a house or a life event such as a wedding, through to having a 'rainy day fund' – meaning you have money set aside for unexpected circumstances or events. Obviously there are plenty of options when it comes to savings accounts – meaning it can be confusing when it comes to deciding which is best for you. An ISA can offer you a decent rate of interest on a potentially large sum of money (Picture: Shutterstock) Liz Hunter, Director at Money Expert, told metro.co.uk: 'Recent interest rate increases have meant that savers are enjoying high earnings, however some lenders haven't been passing on th){kind=link}
NEWS… BUT NOT AS YOU KNOW IT
The cost of living crisis is continuing to affect us all, with millions of people struggling to make ends meet as the cost of food, bills and essentials soars.
With that in mind it’s no wonder many of us may be wanting to fall back on our savings to be able to pay our way – or even open a new savings account giventhe rates for these have improved after the constant Bank of England interest rate hikes.
Even Martin Lewis has offered his advice on making the most of your savings, saying searching for the best rates could result in gains of hundreds of pounds of interest in people’s savings accounts.
Speaking on the latest episode of The Martin Lewis Podcast on BBC Sounds, Martin said: ‘It’s time for millions to reopen cash ISAs.