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In recent times, savers have struggled to get a good return on their money, as record-low interest rates have caused saving pots to grow at a much slower rate than in the past.

And it seems things are unlikely to improve in the near future for savers across the UK. This is Money reports that savers face a number of new blows to their finances, as interest rates continue to fall.

Major banks have lowered their rates in response to three main things:

  • The Government's recently launched 'Funding for Lending' scheme, designed to boost mortgage lending
  • Stock-market investors looking for a safer way of holding their money
  • Little competition from National Savings & Investments, the Government's own savings provider.

In short, an increased demand for savings accounts has led to many banks cutting the rates they offer in the past few weeks - which has affected many types of savings products, from cash ISAs to easy-access savings accounts.

However, when it comes to choosing somewhere to keep your money, interest rates aren't the only thing to think about. In some cases, it could make more sense to find another type of account that offers more suitable benefits for your circumstances.

The thinkmoney Current Account, for example, is an alternative to a bank account that offers a built-in budgeting service to help customers keep track of their money every month.

A spokesperson for thinkmoney commented: "If you're struggling to get the best returns on your money, there are other types of account with alternative benefits that could still make a big difference to your finances. Our account comes with a Money Manager service, which means your income will be split into two separate accounts - so your spending money and bill money will never be mixed up.

"In other words, you won't have to worry about spending the money you need on your essential costs, which could give your financial confidence a boost in difficult times like these."

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