Over three quarters (77 percent) of retired people use cash saving accounts to generate part of their income, highlighting the importance of ensuring they have the most competitive rates, according to new research from Charter Savings Bank.
The research, conducted by Consumer Intelligence on behalf of Charter Savings Bank between 18 and 24 October among a sample of 1,032 adults aged 50 and above, found that on average, money from the savings of respondents including withdrawals and interest adds 19 percent to their annual income.
Meanwhile, less than half of pensioners regularly move their cash to achieve better rates: 46 percent of those surveyed said they monitor the market for the best rates despite growing competition among savings providers.
Of those questioned, 37 percent said they do not move their savings, and 17 percent say they look for the best deals but do not move their money regularly. Pensioners in the South West currently lead the trend of using their savings accounts to boost their income in retirement, followed by Londoners with 94 percent and 84 percent respectively.
Retired men are more likely to have savings account than women, with 83 percent of these men stating they increase their income with savings cash compared to 72 percent of women. When it comes to moving accounts, 49 percent of men switch regularly compared to 43 percent of women.
Director of savings at Charter Savings Bank, Paul Whitlock, commented: “Competition in the market is increasing with a wider range of providers offering a variety of competitive savings options.
“Given the importance of savings to retirement income, it is safe to say that savers should be reviewing options regularly to look for the best deals. Alongside providing simple straightforward accounts and good service, we are focused on enhancing our range whenever we can.”
Charter Savings Bank is part of Charter Court Financial Services, a financial services business serving the mortgage and savings markets. Charter Savings Bank was launched in 2015 and offers a portfolio of products to assist UK savers.
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