Savings

robinph

Why are the savings accounts for business interest rates so rubbish?
Looks like you can get a slightly better interest rate in the Irish banks (just had a quick look on AIB to compare), but in the UK the "High Interest" business savings account I'm being offered is 0.02%. Personal savings accounts at the same bank are at least 2% or greater, would be better rates out there obviously once you lock it in for a time or some other special accounts.

But what is the reasoning behind not having a better rate for business accounts? Do they not want my the businesses money?

RedXIV

Off the top of my head I'd guess that most business accounts are expected to have alot more money in them than personal accounts. If you've got a fairly successful company, you could be putting away thousands a week which would add up fairly rapidly and as such the interest would be huge.

But thats just an idea I had, no idea if its true

Bandara

probably a very stupid idea but could you not transfer the cash to yourself under the guise of a directors loan, and pay it back to the company 364 days later and avail of the interest rates in a personal account for that period ?

I don't think you'd be breaking any laws