Aussies advised to compare savings accounts carefully

People planning to open a high interest savings account have been advised to compare the bank accounts on offer carefully.

Your Money Magazine editor Jackie Pearson observed that many people will only pay attention to the headline rate and will not compare savings accounts and the fine print thoroughly enough.

"Often banks will advertise fantastic rates for a short honeymoon period to lure customers who then find the actual return on investment could fall very short of the mark," she warned.

A recent study by the publication revealed that there are significant differences in the amount of money earned in interest that savers can get depending on where they put their hard-earned cash.

Ms Pearson asserted that it is crucial that Aussies do their research thoroughly when opening a savings account.

This comes after investment experts David and Libby Koch said in a piece for National Features that these products could form a useful part of a portfolio for those putting some of their cash into stocks and shares.

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