What’s in a name? Misleading savings accounts face questions

The problem of savings accounts with names suggesting a competitive rate of interest, but which actually pay poor rates, has been raised in parliament. A number of banks and building societies offer so called “premium” and “gold” accounts suggesting higher than average rates of interest, when many actually pay paltry rates. A parliamentary question on the problem has led the pensions minister to call for the financial regulator to address the problem. In response the Financial Services Authority (FSA) has said that banks and building societies will be included in its review of investment names. The review will look at names which imply ...