moneysupermarket.com: new savings accounts

Commenting on the launch of a range of new savings accounts this week, Kevin Mountford, head of savings at price comparison site moneysupermarket.com, said: “It has been a bumper week for savers, who now have two new market leading savings accounts to choose from – Coventry Building Society's Online Saver at 6.51 per cent and Abbey's eSaver Direct at 6.4 per cent.

“At first glance it is great news for savers, but it’s now more important than ever to look beyond the headline rate. It should be easy to pick a savings account but consumers really need to check the underlying terms and conditions.

“The new offerings from Abbey and Coventry BS technically sit in the ‘easy access’ sector which, by definition, should provide the saver with the option to deposit and withdraw on a regular basis. However these two accounts have strict criteria where savers lose out if they withdraw cash. Coventry will only penalise on the amount withdrawn, rather than the whole balance, which gives it the edge over Abbey.

“While these new 'notice accounts’ do have a part to play in the market, they are very much aimed at the disciplined saver. Generally they offer better rates than 30-day notice accounts, so both Abbey and Coventry are worth a look for stricter savers. If savers can’t trust themselves to be disciplined enough to leave their savings alone, there are other alternatives that don’t punish you, such as ICICI's HiSAVE account – increasing proof that savers shouldn't always chase the best headline rate.”