Time to bag the best home for your savings

It’s been six weeks since the last interest rate cut so now's the perfect time to pick the best savings account. There's now a level playing field to compare the best deals as providers have now decided whether or not to reduce their rate in line with the cut.

The first thing to do with any spare cash is put it in a tax-free cash ISA where you can save up to £3,600 a year. The current top deal comes from National Counties Building Society which has a 6.26% rate.

The top savings account is still Kaupthing Edge which has a 6.5% rate and a guarantee that it’ll be 0.3% above UK base rates until 2012.

Yet it’s only best if you have at least £1,000 to save. Anything less and you’re better off with Birmingham Midshires’s e-saver account paying 6.5% though without the rate guarantee.

External Link: For a detailed guide to the best rates read Martin's Top Cash ISA and Best Savings Accounts articles.

Slash the cost of RAC membership

There's a massive loophole allowing you to get RAC membership for just £11 a year. Normal basic breakdown cover from RAC is £33 which gives roadside assistance. But if you buy through website Cashbackkings you can get £22 back so it actually only costs £11.

However, money from cashback sites is never 100% guaranteed, as on occasions some do not pay out, though most people should still get it.

There's also another loophole to get RAC membership with Tesco Clubcard vouchers. £14.25 in Clubcard vouchers will get you covered.

Read more about RAC membership for £11.

External Link: For more cheap roadside recovery opions read Martin's Breakdown Cover article.

How to grab 1p flights

Ryanair is back with its 1p each-way flights deal. But hurry as you’ll need to book by midnight tomorrow (Thurs 22 May) if you want to bag one. The flights are available for travel between June and October, but this depends on the airport you're departing from and has a few date restrictions.

For example, you can only travel between Monday and Thursday on most routes, while journeys during school holidays and to major sporting events are excluded.

External Link: To get the mega-cheap deals, which can be notoriously difficult to find on airlines’ websites, go to a special tool, called the FlightChecker, which helps you search for the bargain-basement deals.

D-Day for bank charges

Tomorrow marks the next stage in the bank charges case. We’ll find out if the banks will appeal the original decision, which stated bank charges are governed by fairness rules. If the banks appeal it could take years for an outcome but it could force the regulator, the Financial Services Authority, to lift the hold on claims.

The meeting should also determine how the OFT will proceed on deciding whether the charges actually are unfair.

External Link: For all the latest information, keep up to date with Martin's Bank Charges News guide.