Savings providers should offer those saving money "consistently attractive" savings interest rates, Sainsbury's Bank believes.
The savings provider found that just 23 per cent of banks and building societies offer savings interest rates of at least 3.25 per cent annual equivalent rate (AER).
It points out that the lowest savings interest rate offered on any savings account by Sainsbury's Bank is 3.35 per cent AER.
The bank found that 92 savings providers in the country have savings accounts offering less than three per cent savings interest rate.
Of these, 84 have savings accounts with interest rates below two per cent, Sainsbury's Bank claims.
"We believe that one of the biggest challenges facing the savings industry is to ensure that all those with accounts receive consistently fair and attractive returns," comments Pauline White, savings manager at Sainsbury's Bank.
She says the savings provider is convinced that people would be saving more if they were confident that they will receive such returns.
"Until this happens, savers need to check regularly what rate of interest they are receiving on their savings," Ms White advises.
If they feel the savings interest rates they are receiving are not competitive, "they should be prepared to switch" savings accounts, she concludes.
Savings provider calls for consistent interest rates
Savings provider calls for consistent interest rates
Tue, 07 Mar 2006
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