Any ideas? Don’t worry if not. You’re in the majority.

UK savers are protected for up to £85,000 per person per financial institution.

And despite a multi-million-pound television advertising campaign designed to raise awareness about the guaranteed compensation level for savings UK deposits, only 3% of people are aware of the measures at the close of 2011, according to the Financial Services Compensation Scheme (FSCS).

FSCS Advert...? (Nope. Me neither)

[Read more at Which4U]

"Robbing the poor to feed the rich"

The ‘banking crisis’  is set to strike a new low in confidence at the end of 2011. And there is no Eurozone to blame here; it is a situation entirely of UK banks’ own making.

This week has been a decidedly poor one for banks, and has highlighted several problems endemic within the financial system.

[Read more at Which4U]

Inflation and your savings: fragile in nature

There have been some significant moves in the market for savings products this week, mostly driven by concerns about inflation.

Santander has looked to muscle into the space vacated by NS&I, who announced a withdrawal of their popular inflation-linked Investment Accounts in November.

Following their self-acclaimed ‘revolutionary’ up-front interest bond, Santander’s Inflation-Linked Savings Bond pays the rise in the Retail Price Index over a six-year period.

[Read more at Which4U]

This may prove an interesting week of parallels. A recent post on our sister site’s Finance Blog in Australia compared details of how fee-driven banking products have come under scrutiny in both countries.

Another area of comparison is to be found in what we might call household efficiency or discipline savings. How much could we be saving by organising our food shopping more carefully to reduce wastage, or by switching off our electrical devices rather than leaving them on standby? Quite a lot, as it happens.

[Read more at Which4U]

They say that money can’t buy you happiness.

But what does bring happiness, and can it survive in this global financial downturn that shows little sign of abating?

The UK government’s plans to monitor the wellbeing of its citizens through a ‘happiness survey’ have humoured and horrified its populace in equal measure.

But the choices and priorities that people are having to make in different economic environments are decidedly revealing in how we view British levels of consumer confidence and attitudes towards life. One example that stands out vividly this week is the approach to marriage.

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Revolution is a more powerful term than most people realise. It implies a rising order to be witnessing – and even delighting in – its overthrow of an old and failing order.

So, how does that work exactly for a savings account?

Santander’s new Upfront Interest Bond has caused some controversy across the web this week, so perhaps it’s time to investigate this particular product a little closer.

[Read more at Which4U]

They say that you can’t teach an old dog new tricks. Yet, in an age of digital technology and mobile apps, the older generation are still able to teach the young one of the most fundamental financial tricks: saving.

Stats from Halifax’s ISA report shows a striking correlation between age and average ISA savings. The average ISA balance stands at roughly £8,500.

The results show a remarkable contrast in the amounts that different age groups hold in their ISAs.
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Soaring energy bills and rising food prices have driven inflation over 5% in the month of September, causing more misery for savers. The retail price index (RPI) has risen to a 20-year high. So, what now for savers who are set to lose out considerably in real terms?

It has been estimated that savers at the basic level of tax would need to be investing at a rate of at least 6.5% to avoid losing out in real terms, and greater still for higher rate taxpayers. However, the low base rate set by the Monetary Policy Committee to aid growth is leaving very few products available at a percentage that can offset the high inflation rate.

What are the options?

[Find out at Which4U]

Those who have decided to move on to further education by going to university have been warned that their personal possessions may not actually be automatically covered by general annual insurance at their halls of residence.

This is the opinion of the head of consumer finance at Love Money, Ed Bowsher.

Mr Bowsher has urged future scholars to take the time to find out if they are protected before moving into their home-from-home, so as to avoid any potential confusion or unexpected high costs whilst studying.

The expert went on to say that “students should also check their parents’ home insurance policies,” adding that “some policies will cover students even if they’re living away from home” (more…)

Those with defined contribution pension schemes look like they have lost an average of £1,300 in potential retirement income over the last six months, a firm has said.

The statisticians at Alexander Forbes, who calculated these figures, have gone on to blame the drop on falling share values and annuity rates.

This is because, between the beginning of March and the start of September the FTSE 100 share index has 9 per cent to only 5418, and has since fallen a further 4 per cent to 5066 as of last Friday (23rd September).

Alan Carey, of Alexander Forbes, went on to say “the last six months of 2011 have been dire for defined contribution pension savers,” adding that “a combination of falling growth asset values, reduced bond yields and ever increasing longevity has further reduced the value of workers’ pension savings.” (more…)