Member Article

Savers risking lower returns

North East savers are risking getting lower returns on their investments by not making use of financial information and support.

That’s the warning from Newcastle Building Society, whose new research reveals that only one in five people are more likely to look for help when reviewing their investment options - with the same number saying they are now less likely to do so.

Almost one in three people (30%) say the current economic climate makes them less likely to trust their savings providers’ opinions than they were before the credit crunch began, with a similar percentage (31%) expecting to shy away from stocks and shares-based savings products.

Steve Urwin, Senior Sales and Marketing Executive at Newcastle Building Society said: “The financial marketplace is almost unrecognisable compared to little more than a year ago, so it’s no wonder that trust is a big issue for the consumer, and it’s something that all institutions are working hard to address.

“With the base rate so low, savers may be tempted to think that they are better off holding onto their cash, rather than investing it in a building society or bank, but with the recent increase in tax free ISA allowance and a range of good products still available across the market despite the tough financial climate, doing so will see them miss out on getting the returns that they could otherwise secure.”

This was posted in Bdaily's Members' News section by Ruth Mitchell .