The Best Instant Access Savings Accounts For Over 50s

208
Best Instant Access Savings Accounts

If you are over 50 and looking for a savings account that offers you flexibility and easy access to your money, you might want to consider an instant access savings account. In this article, we will explain what an instant access savings account for over-50s is, how it works, and the best options available in the market right now.

What is an instant access savings account for those over 50?

An instant access savings account for over 50s is a type of savings account that allows you to deposit and withdraw money whenever you want, without any notice or penalty. You can manage your account online, by phone, or in the branch, depending on the provider.

Instant access savings accounts for over 50s are designed to suit the needs of older savers who want to have some liquidity and flexibility with their savings without locking them away for a fixed term.

How do instant access savings accounts work?

Instant access savings accounts work by paying you a variable interest rate on your balance, which can change at any time depending on the market conditions and the provider’s policy. The interest is usually paid monthly or annually, and you can choose to have it added to your account or transferred to another account.

You can also make as many deposits and withdrawals as you like, subject to the provider’s terms and conditions. Some instant access savings accounts may have a minimum or maximum balance requirement or a limit on how many withdrawals you can make per year.

The best instant access savings accounts for over 50’sare listed below

In this article of instant access savings accounts, we’ve brought you a list of some of the best instant access savings accounts for over 50s that are currently available.

Choosing the most suitable account for you will, however, be dependent upon your individual circumstances, so make sure to look into things like interest rate, minimum and maximum balance and account access for every single option.

We’ve arranged these accounts based on the interest rate, the highest being. For fast comparison, you can see in the table below what each one has to provide.

ISA NameProviderInterest Rate (AER Variable)Minimum and Maximum BalanceHow Can the Account Be Accessed?Is It Protected By the FSCS?
Online Savings AccountMarcus By Goldman Sachs4.00%£1 to £250,000Website and appYes
Easy Access AccountBrown Shipley4.17%£1,000 to £85,000Website, phone and postYes
Easy Access AccountUBL UK4.18%£1,000 to £85,000Website, phone and postYes
Online Flexi SaverInvestec4.20%£5,000 to £250,000WebsiteYes
Freedom Savings AccountRCI Bank UK4.20%£100 to £250,000Website and appYes
Double Access AccountAldermore4.20%£1,000 to £1,000,000WebsiteYes
Internet Saver PlusYorkshire Building Society4.25%£1 to £500,000WebsiteYes
Online SaverPost Office Money4.25%£1 to £200,000WebsiteYes
Triple Access Savings AccountParagon Bank4.25%£1 to £500,000WebsiteYes
Flexible SaverFord Money4.35%£1 to £2,000,000WebsiteYes
Online Easy Access AccountHampshire Trust Bank4.40%£1 to £250,000WebsiteYes
Limited Issue Online Access AccountLeeds Building Society4.40%£1,000 to £1,000,000WebsiteYes
Instant Access AccountChip4.51%£1 to £250,000AppYes

Here are the best instant access savings accounts for those over 50s

We have researched the market and found the best instant access savings accounts for those over 50s based on the following criteria:

  • The interest rate offered
  • The minimum and maximum balance allowed
  • The number of withdrawals permitted per year
  • The availability and accessibility of the account
  • The customer service and reputation of the provider

Based on these criteria, here are our top picks for the best instant access savings accounts for those over 50s:

The Best Instant Access Savings Accounts For Over 50s

Here are the best easy-access savings accounts for January 2024:

  • Cahoot Sunny Day Saver: This account offers a whopping 5.2% AER variable for the first 12 months, then drops to 0.5%. You can open it with as little as £1 and save up to £3,000. There are no fees or charges, and you can access your money online, by phone or via mobile app. Cahoot is part of Santander, so your deposits are protected by the Financial Services Compensation Scheme (FSCS) up to £85,000 per person.
  • Charter Savings Bank: This account pays 5.13% AER variable on balances from £5,000 to £1 million. You can make unlimited withdrawals and deposits, and there are no fees or charges. You can access your money online or by phone. Charter Savings Bank is authorised by the Prudential Regulation Authority (PRA) and regulated by the Financial Conduct Authority (FCA) and the PRA, and your deposits are covered by the FSCS up to £85,000 per person.
  • Cahoot Simple Saver: This account pays 5.12% AER variable on balances from £1 to £2 million. You can make unlimited withdrawals and deposits, and there are no fees or charges. You can access your money online, by phone or via mobile app. Cahoot is part of Santander, so your deposits are protected by the FSCS up to £85,000 per person.
  • Kent Reliance: This account pays 5.11% AER variable on balances from £1,000 to £1 million. You can make unlimited withdrawals and deposits, and there are no fees or charges. You can access your money online, by phone or in the branch. Kent Reliance is authorised by the PRA and regulated by the FCA and the PRA, and the FSCS covers your deposits up to £85,000 per person.
  • Close Brothers Savings: This account pays 5.1% AER variable on balances from £10,000 to £2 million. You can make unlimited withdrawals and deposits, and there are no fees or charges. You can access your money online or by phone. Close Brothers Savings is authorised by the PRA and regulated by the FCA and the PRA, and the FSCS covers your deposits up to £85,000 per person.
  • Marcus by Goldman Sachs Online Savings Account: This account offers a competitive interest rate of 0.5% AER variable, which includes a 0.1% bonus for the first 12 months. You can open this account with as little as £1, and there is no minimum or maximum balance requirement. You can manage your account online or through the mobile app, and make unlimited deposits and withdrawals without any fees or charges. The account is also protected by the Financial Services Compensation Scheme (FSCS), which means your money is safe up to £85,000 in case the bank fails.
  • NS&I Income Bonds: These are bonds that pay monthly interest directly into your bank account, which can be useful if you need a regular income from your savings. The interest rate is currently 0.01% AER variable, which is very low, but the main advantage of this account is that it is backed by the government, which means your money is 100% secure and guaranteed. You can invest between £500 and £1 million in these bonds, and access your money at any time without any penalties or notice periods.
  • Virgin Money Double Take E-Saver Issue 19: This online-only account pays an interest rate of 0.5% AER variable. You can open this account with £1, and there is no maximum balance limit. However, the drawback of this account is that you can only make two withdrawals per calendar year, which means you have to be careful about when and how much you take out of your savings. If you make more than two withdrawals, you will lose the interest for that month.

These are some of the best easy-access savings accounts available in January 2024, but they may only last for a while as rates can change at any time. Therefore, it is advisable to act fast if you want to take advantage of these offers and secure a high return on your savings.

Easy-access savings accounts are a great way to keep your money flexible and accessible while earning some interest. However, they are not suitable for long-term saving goals or for beating inflation, as the interest rates are usually lower than other types of savings accounts or investments. If you want to grow your money over time and protect it from losing value, consider other options such as fixed-term accounts, cash ISAs or stocks and shares ISAs.

Whatever you choose to do with your money, make sure you compare different products and providers before making a decision and always read the terms and conditions carefully before opening an account.

Read More

How do easy access accounts work

As the very name suggests easy-access accounts deliver exactly what they promise, simple access to your money whenever you please. They are also referred to as quick-withdrawal accounts or no-notice accounts.

On paid-in money, you receive interest, and you can withdraw the money at will; these accounts are, therefore, best suited for emergency savings funds.

For this reason, some banks and building societies offer introductory rates to attract customers. Therefore, it is advisable to always keep an eye on interest rates and change accounts when the rate drops.

There has been a lot of activity in the savings market ever since the Bank of England hiked interest rates to 5.25% before deciding to hold more rises, but some changes were always going to take place when those growing levels moved bankruptcy facilities back into positive territory. In other words, some of the best offers may not be available for a long time, which means you might need to be quick to cash in on a good rate if you identify it.

However, going back to this market-leading account you opened a few months ago may surprise you as it is no longer offering such a good rate and therefore, it is advisable to shop around on a regular basis in order to ensure the best interest returns on your savings.

When can I withdraw money with easy access accounts

It is possible to know the time when one can withdraw money from either or both easy-access accounts.
Also, easy-access accounts should allow you to access your savings whenever and as many times as you want.

But now there is an emerging tendency for savings accounts to limit the amount of withdrawals-although they are still labelled ‘easy-access’ accounts. However, this is not always the case as a number of them are quite explicit in the name, for example, Paragon Double Access and Coventry BS Triple Access Saver.

In the event in which you shoot above the ceilings, the punishment is usually a loss of interest, or an upgrade into another lower rate.

It is simply a statement of the need to scrutinize carefully any withdrawal restrictions (either the limits on the frequency or amount withdrawn) before going for an easy-access account.

Advantages and Disadvantages Of Instant Access Savings Accounts For Over 50s

Advantages

The main advantage of instant access savings accounts for over 50s is that they offer you flexibility and convenience. You can access your money whenever you need it, without having to worry about losing interest or paying penalties.

This can be helpful if you have unexpected expenses or emergencies or want to use your savings for other purposes, such as holidays or gifts. Instant access savings accounts also tend to have low or no minimum balance requirements, which means you can start saving with a small amount of money.

Disadvantages

The main disadvantage of instant access savings accounts for those over 50s is that they usually have lower interest rates than other types of savings accounts, such as fixed-term bonds or notice accounts. This means that your money will not grow as much over time, and you might lose out on better returns elsewhere.

Instant access savings accounts also tend to have variable interest rates, which means they can change at any time depending on the market conditions and the bank’s discretion. This means that you might not get the same rate as when you opened the account, and your savings might lose value in real terms due to inflation.

Other Types Of Savings Accounts For Over 50s

Instant access savings accounts are one of many options for people over 50 who want to save money. There are other types of savings accounts that suit your needs better, depending on your preferences and circumstances. For example:

  • Fixed-term bonds: These are accounts that lock your money away for a fixed period of time, usually between one and five years, in exchange for a higher interest rate. You can access your money at the end of the term, or you will face a penalty. These accounts are good for those over 50s who want to earn a guaranteed return on their savings and do not need to access them in the near future.
  • Notice accounts: These are accounts that require you to give a notice period, usually between 30 and 120 days before you can withdraw your money. You can usually make unlimited deposits, but the number of withdrawals might be limited. These accounts offer higher interest rates than instant access accounts, but lower than fixed-term bonds. They are suitable for those over 50s who want to earn more interest on their savings but still have some flexibility and access to their money.
  • Cash ISAs: These are accounts that allow you to save up to £20,000 per year without paying any tax on the interest. Depending on your preferences, you can choose between instant access, fixed-term, or notice cash ISAs. These accounts are ideal for over 50s who want to maximise their tax-free savings and have a long-term savings goal.

People May Also Ask

What is an instant access savings account for over 50s?

An instant access savings account for over 50s is a type of savings account that allows you to deposit and withdraw money whenever you want, without any penalties or limits. You can earn interest on your savings, but the rate may vary over time.

How do I choose the best instant access savings to account for those over the 50s?

The best instant access savings account for over 50s depends on your personal circumstances and preferences. You should consider factors such as the interest rate, the minimum and maximum balance, the account access, the deposit protection, and the customer service of each option.

What are the advantages and disadvantages of instant access savings accounts for over 50s?

The main advantages of instant access savings accounts for over 50s are the flexibility and convenience they offer. You can access your money whenever you need it, and you can easily manage your account online or by phone. The main disadvantages are the low interest rates and the potential impact of inflation on your savings.

What are the alternatives to instant access savings accounts for over 50s?

If you are looking for higher interest rates or more security for your savings, you may want to consider other types of savings accounts for those over 50, such as fixed-term accounts, notice accounts, regular savings accounts, or cash ISAs. However, these accounts may have more restrictions or requirements than instant access accounts.