Save thousands by choosing the right financial products and services

Moneyextra.com’s latest quarterly review of financial services highlights the massive potential for savings available just by making the right financial decisions.

The total annual savings now available by replacing near-worst with near-best products across a range of financial services is £4,678.60. Despite an environment of rising interest rates, there are still savings to be made on debt products as well as better returns to be had on deposits and savings accounts.

Robin Amlôt of Moneyextra.com commented, “Putting that net figure back into your hands in terms of after tax income is the equivalent of an increase in gross earnings for a basic rate taxpayer of almost £7,000 a year!”

Making sure you have the right mortgage is the cornerstone of a fitter, fatter wallet, with the potential savings from the right decision here accounting for 68 per cent of the total savings to be made. In other debt products, making sure you have a competitively priced personal loan and the right credit card could save the average person more than £825 a year.

Those with savings could find themselves more than 10 times better off! With £5,000 in an instant access savings account, the difference between near worst and near best accounts is £257 in interest – more than 10 times the £25 being offered at the bottom end of the scale.

Elsewhere, Moneyextra.com’s figures also show term assurance has continued to get cheaper. The potential savings on a 25-year £110,000 policy for a couple aged 34 having risen to £147.60 from £141 a year earlier and £82.08 two years ago.