What is a Savings Account?

In our opinion having a safety net is very important for investors. A savings account is an ideal place to keep some money that will gain interest at a higher rate than a basic current account. They will fall into one of the four categories below but may also be based off-shore in the Channel Islands or Ireland. Easy Access Account - access to money at all time. There is no penalty for withdrawal. Notice Account - For money to be withdrawn without a penalty to be incurred, notice of a set period must be given. Bond Accounts - Money is invested for a fixed amount of time and early withdrawals are either not allowed or have severe penalties. Regular Accounts - These accounts are usually set up so that the individual puts in constant monthly investments. There is usually no initial lump sum investment.