People considering opening savings accounts that offer high rates of interest have been urged to consider exactly what deals include.
According to Defaqto, most savings accounts with high rates tend to have specific conditions relating to their availability, such as depositing a certain amount of money regularly.
David Black, principal consultant of banking at the firm, said a number of offers have "cracking" rates but are limited to a certain period of time.
According to Mr Black, this means that when compared to the "headline" rate of interest, the "actual amount of interest that can be earned looks surprisingly low".
In related news, Birmingham Midshires recently reported that the number of young people who have opened savings accounts in the last six months has doubled.
The firm noted that one in seven people aged between 18 and 24 opened a bank account in the last few months.
Warning issued to savers
Warning issued to savers
Thu, 22 Nov 2007
Recommended links
Guide to the best savings accountsToday's savings accounts comparison
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