Let your money do the hard work

Whatever your financial situation and whatever stage you are at in life, it is always a smart idea to have some money put aside. And, when coupled with the right knowledge, it is an even smarter idea to make your money work for you.

For example, you could invest some of your liquid assets in the stock market, either directly or through Stock and Shares ISAs. Alternatively, you could open up a savings account, which gives you the flexibility to handle your money on a daily, weekly or monthly basis.

Although investment can reap huge rewards, it is important to remember that it is a long-term venture and that, in order to be successful, it is imperative you thoroughly understand the market and its associated risks. If you have limited knowledge of the stock market, it is advisable to seek financial advice, so that you avoid any pitfalls.

For those who prefer to increase their wealth without taking risks, the intelligent option is to open a savings account. In this way, you can earn interest on the money you have, without having to leave the comfort of your own home. By choosing an account – and there are thousands on offer in the UK – that suits your lifestyle and spending patterns, you could make your money work to your best advantage.

Firstly, you need to understand why you want a savings account. Are you thinking about getting married, or would you like to jet off around the world, visiting tropical islands and remote destinations? Or, are you looking to buy a house, or just have some money set aside for the future?

Once you have ascertained the exact purpose of why you want or need to save, you must then think about how you spend or save the money you have at the moment. For example, do you love shopping and cannot resist the latest designer handbag, or are you more conservative and save on a regular basis?

Through analysing your spending and saving patterns, you will be able to gain a clear picture of how much and how often you can save. Obviously the more money you have and the more you save each month, the more interest you will accrue on your savings, and, with the range of packages on offer in the UK financial marketplace, you don’t need to save buckets of cash each month to make saving worthwhile.

In the current financial marketplace, many experts are advising that it could be a wise option to look at opening an instant access account. These types of account have the advantage of giving you unlimited access to your money, either online or through a branch and offer competitive levels of interest if you can resist the temptation to dip into your savings; even if you do, you’ll still receive interest, but at a much lower rate.

Whatever your needs, opening a UK savings account could be a smart way to ensure your money works for you.

This article has been written for information and interest purposes only. The information contained within this article is the opinion of the author only, and should not be construed as advice or used to make financial decisions. Expert financial advice should always be sought and any links contained within this article are included for information purposes only.