6 July 2007
Around 19 million people in the UK are losing out on significant amounts of interest each year due to money lying dormant in low-interest current accounts.
According to Sainsbury's Bank, many people are missing out on interest - with an estimated 13.6 billion of cash in accounts in total generating only minimum returns.
Research by the company found nearly three million people with non-fee paying current accounts with one of the UK's top four high street banks, have between 500 and 1,000 sitting idle in accounts paying interest of just 0.1%.
Furthermore, the study found 1.78 million people regularly have between 1,001 and 2,000 left in their account - missing out on around 88 extra interest a year, if they moved the money across to a high interest savings account of 6%.
Peter Wood, Head of Savings at Sainsbury's Bank said: "Our research indicates that there are millions of people who could be making their money work harder for them.
"Obviously, it is sensible to keep a surplus amount in your current account to ensure you don't go overdrawn but many people have significant sums that they are not drawing upon.
"This money could be transferred to a high interest, easy access savings account or high paying current account that could earn them considerably more interest," he added.
Over 500,000 people admitted that after all their monthly outgoings have been paid out they have balances of over 5,000 sitting idle in current accounts.
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