Building societies best for saving consistency

Building societies are consistently offering the best saving rates, according to new analysis.

As the credit crunch pushes up savings rates – as lenders try to gain funds that are disappearing from the money markets – the mutuals are outperforming banks.

However, the financial crises of the last month have seen banks around the world fail, so leaving savers to worry about the safety of their cash.

Michelle Slade, analyst at Moneyfacts.co.uk, said: "We have received hundreds of direct approaches from the public, asking the same question 'Is my money safe?'

“The Financial Services Compensation Scheme (FSCS) is complicated for most within the industry, let alone for the consumer, who would have never have thought that they ever needed to ask questions about their bank."

She added: “These are unsettling times and as a result of the lack of liquidity in the market, generally savings interest rates are going up and down, depending on an each deposit taker’s cash requirements.

"Our latest survey highlights those institutions that have rewarded their customers with consistent returns."

Highlights from Moneyfacts October 2008 savings consistency report:

Building societies take 75 per cent places on the consistency charts.

Internet Savings

Icesave (Easy Access Savings) has again dominated the top spot over 18 months, followed by Principality BS e-SAVER account. Sainsbury’s Finance again holds hold on to the top spot over 36 months.

No Notice Savings (No bonus)

Chesham BS most consistent rates over 18 months. Teachers BS has taken the top spot over 36 months.

Notice Savings (No bonus)

Beverley BS has done the double by taking top spots in both categories over 18 and 36 months.

Cash ISA

Kent Reliance BS most consistent high rates over 18 months and 36 months.

Most consistent Cash ISAs over 18 months

	Account	Term	Min Deposit	Total Interest	Gross % (AER) as at 01/10/08
Kent Reliance BS	Direct Cash ISA	None	£1	£272.79	5.76% (5.76%)
National Savings & Investments	Direct ISA	None	£1,000	£267.93	5.30% (5.30%)
Tipton & Coseley BS	Premier ISA	30 Day	£3,600	£266.45	5.55% (5.42%)
Yorkshire BS	e-ISA	None	£10	£264.23	5.55% (5.55%)
Earl Shilton BS	Cash ISA	90 Day	£10	£263.00	5.55% (5.55%)
Loughborough BS	30 Day Cash ISA	30 Day	£1	£261.75	5.40% (5.40%)

ISA Best Buys at October 1st

	Account	Term	Min Deposit	Current Gross % (AER) as at 01/10/08
Manchester BS	Premier ISA Issue 2	Instant	£1,000	6.50% (6.50%)
Icesave	Premier ISA Issue 2	Instant	£1,000	6.50% (6.50%)
Barclays Bank	Easy Access ISA	Instant	£1	6.08% (6.25%)
Egg	Egg Cash ISA	None	£1	6.05% (6.05%)
National Counties	Guaranteed Cash ISA 2008/2009	Instant	£1	6.01% (6.01%)
Birmingham Midshires	Direct ISA Issue 3	None	£1	6.00% (6.00%)