Do you know what interest rate your savings account is paying?

New research from the consumer watchdog Which? has found that almost half of the 1,250 savings accounts on offer in the UK pay an interest rate of 0.5% while one in four pays 0.1% net or less – just £1 a year for every £1,000 saved.

The Guardian reports that these low interest accounts are costing Brits a staggering £12 billion each year in lost interest.

Look for the best savings accounts

If you want to maximise the returns you are getting on your money, your first step is to find out what interest rate is being paid on your savings account.  This is particularly true if you stash your savings with a big high street name.  According to financial information firm Moneyfacts, Halifax, Nationwide, Barclays, HSBC and Santander all have accounts paying just 0.1%.

Speak to your current savings provider to see if they have a better account.  And, make sure you shop around to find out if there are better homes for your hard earned cash.

Head online to find the best high interest savings accounts

Many of the best savings accounts can be found online.  Lots of providers now offer web-based accounts which can pay up to twenty or thirty times the interest rates available on high street passbook accounts.  Use a savings comparison website to research the rates that are available, remembering to check whether quoted rates include bonuses and what access you will retain to your money.

Using savings data from the Bank of England, Which? estimates that leaving your money in poorly paying accounts rather than switching to high interest savings accounts costs £322 a year for every saver with an easy-access or notice savings account.  So, what are you waiting for?  Compare savings accounts to find a better deal now.