Each savings account has its own features.
Instant or easy access
Easy access accounts, also known as instant access, allow you to pay in and take out money whenever it's convenient without facing a penalty. Most can be opened with an initial deposit of just £1. The interest rates on these accounts tend to be low.
Notice accounts
If you're willing to give your savings provider some warning before you make a withdrawal, interest rates on notice accounts are usually higher than easy-access accounts. If you need your money urgently, you can still access it without notice, but you will forfeit some of the interest.
Regular savings
If you can afford to put away some cash into a savings account every month you could sign up to a regular savings account. As long as you can guarantee to deposit a certain amount each month, you may be rewarded with higher rates of interest. If you stop paying in regularly, there may be interest penalties.
Fixed-term savings
If you can lock your cash away for a fixed period of time you'll often get the best deals on the market. You'll get a fixed interest rate that won't fall when your back is turned. But if you access your money during the term of the account you'll lose most of the interest gained.
Minimum deposits
Some savings accounts require a minimum deposit and you might need a certain amount of money before you can open one.
Introductory bonuses
Many banks and building societies offer headline interest rates that include short-term bonuses that apply for the first six or 12 months. Make sure you switch accounts once the bonus period ends to ensure you are getting the best rate over the longer term.
Withdrawal restrictions
Some savings accounts carry withdrawal restrictions. You may only be able to make a certain number of withdrawals in a 12-month period, or you may receive no interest in the months you withdraw cash. This can have a significant impact on the amount of interest you receive over the course of a year.