Savings Accounts - About Notice Savings Accounts

Notice Savings Accounts require you give to a certain number of days notice to withdraw money from your notice savings account without incurring a penalty. If you withdraw money without giving notice then you will have to pay a penalty which is usually 7 days, 30 days or 90 days loss of interest on the amount you withdraw depending on the notice period . The notice period is normally 7 days, 30 days or 90 days and the minimum deposit is usually around £1000. The main benefit of notice savings account is that you get a higher rate of interest than savings accounts that do not require notice for withdrawals.

Notice savings accounts normally have interest rate bands for their accounts, which means the more you have saved in them, the higher interest rate you get. Also generally speaking, the longer the notice period, the higher the interest rate you get, although this isn't always the case as the savings market is a competitive one so it always pays to shop around.