Internet Savings Accounts

Internet savings accounts products are unlike regular savings accounts you might find in a bank. If you are interested in online savings accounts there are some clear advantages and disadvantages you need to know about. It is also necessary to compare internet savings accounts to be able to choose the best internet savings accounts for you and your family. With an internet savings account you can go with a UK bank or you could use an overseas internet bank such as ICIC Bank. Even nonbanks provide accounts now and a popular one is the Tesco Internet Savings Account.

Internet accounts are those only found in online banks. In other words they are not accounts you can access by going to a bank institution on your street corner. You should not confuse online savings with online account access. Many banks offer an online account access in which you can track your regular savings; however, the access is for your records rather than accessing your money. With internet savings you are completely online. To put money in the account you either have to do an electronic transfer or send it via mail.

Compare Internet Savings Accounts Online
Since internet savings accounts are set up this way, there are 940advantages and disadvantages. You will want to compare internet savings accounts against the other types of savings account to see if the benefits are enough to make it worth opening the best online savings accounts It is always important to look for the account with the best rates but there are other factors such as access to the account and whether you need to give notice to make a withdrawal. Here are some benefits:

Higher Interest
Convenience
24/7 account access
Security
Privacy

It is very easy to remain anonymous with online savings even for UK internet savings accounts. You will never have to meet a banker or even talk with one unless you have an account question. Many find this anonymity pleasing. It also offers them more privacy in that no one can see what they have in their account. At a bank someone could be looking over your shoulder, but not when you’re online. The main benefit is the higher interest these internet savings accounts tend to have.

By taking advantage of internet savings accounts comparison you get to see at a glance the best rates offered by the different UK and overseas banks without having to research each account individually. An internet bank account often has higher interest to gain your attention and this is particularly so in the savings accounts sector for internet banks. If you are looking for an instant access internet savings account then take a look at our instant access savings section.

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The Disadvantages of an Online Savings Account
Unfortunately, like all products there are disadvantages to internet savings accounts:
-No Instant Access
-No ATMs, Banks
-Online Security Concerns
-Mail in deposits, wait for withdrawals to be sent to you

It is true no one can look over your shoulder if you manage your internet savings account from your home computer. However, there can be issues with internet security as a whole. Hackers enjoy breaking security programs to find personal data. So, while some security and privacy is afforded online, you do have to be wary of the internet connection you make. Are you on wireless? If so, you need a WEP key and added computer security. This is a slight drawback.

The most troublesome aspect of internet savings accounts is not being able to access your account funds instantly. It takes a couple of days to send you the money you withdraw. You are also limited by the number of withdrawals you can make in a year. If you do not need easy access to your savings account, then online savings can be a great way to increase your savings quickly with higher interest than other accounts you might compare.