Savings accounts holders are losing out to banks that are too slow to pass on interest rate benefits to customers, Moneysupermarket.com has revealed.
The price comparison website is calling for savings providers to ensure base rate increases are felt immediately by hardworking UK savers.
Moneysupermarket.com claims 47 per cent of savings account holders are waiting to see any changes after the base rate increase in July, with those that did make a change only implementing an average increase of 0.25 per cent -taking 21 days to effect this.
Head of savings and current accounts at the website Kevin Mountford commented: "The delaying tactic is incredibly sneaky - by holding off the rate change, providers are avoiding paying out a whopping £6 million per day in interest."
Mr Mountford exemplified Capital One as a savings provider that had been quick to act and urged other financial service organisations to follow, he also advised consumers to act with their feet and change their savings accounts.
"If the reason for the long delays of others is operational then banks and building societies should backdate the rise so their customers benefit," he added.
Abbey announced today that by the time most people reach 50 they will only have saved £7,179 in savings accounts and investments.
Savings account holders lose out to banks, expert claims
Savings account holders lose out to banks, expert claims
Wed, 01 Aug 2007
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