Opening a savings account is a simple way to take control of your finances and plan for the future. Whether you're saving for a holiday, helping a grandchild or building an emergency fund, our guide includes everything you need to know.
A savings account helps you put money to one side, separate from your everyday spending. This makes it easier to save over time and avoid dipping into your savings for daily expenses. You can use it to work toward specific goals – like a holiday or a new car – or to build an emergency fund for unexpected costs.
Savings accounts also earn interest, which is money the bank pays you for keeping your savings with them. The interest rate is usually agreed when you open the account. You can learn more about how interest works in our guide.
Without a savings account, all your money might stay in your current account, making it easier to spend without thinking. A savings account provides a more structured way to manage your money and build financial security.
Thinking about opening a savings account? Here’s a simple four-step guide to help you get started.
The first thing you need to do is choose the type of savings account you want. This decision is usually based on your savings objectives.
At Saga, we offer:
Once you’ve picked the type of savings account you want, you'll likely need a few things to get started:
Once your identity is confirmed, you can open your savings account and start adding money.
Most accounts need a minimum deposit to get started. The amount depends on the type of account.
You can add money by bank transfer. Just move funds from another account using online banking, a mobile app or by phone. Some banks and building societies also let you deposit cash or cheques in a branch. However, this isn’t an option with Saga.
Now that your savings account is open, you can start building your savings. Here are some tips to help you manage it well:
Most banks and building societies in the UK let you open a savings account online. You can usually apply through their website or mobile app.
However, some accounts may need to be opened in person or by post. This is often the case for accounts for children, grandchildren or dependents, or with providers that have special rules. Some fixed-rate savings accounts, like bonds, may also require an in-person application – it depends on the provider.
Usually, you can’t open a savings account for another adult – unless you have legal authority, like a Power of Attorney. This means you’ve been officially allowed to manage someone else’s finances, including opening or closing accounts for them.
You can also open a joint savings account with someone else, like a partner or family member. These accounts are great if you’re saving for the same goal. Both of you can add and withdraw money.
To open a joint account, you’ll both need to prove your identity. Some banks may also require that at least one of you is already a customer.
Yes, grandparents can open a savings account for their grandchild. But they must have parental permission or be the child’s legal guardian.
The account is opened in your grandchild’s name, and they’ll usually get access to the money when they turn 18. You can add money to the account whenever you like.
If you have more than one grandchild, you’ll need to open a separate account for each one.
Parents can also open savings accounts for their children.
Opening a savings account won’t affect your credit score.
When you apply, the bank may run a soft credit check to confirm your identity. It doesn’t impact your credit score and won’t show up on your credit report like a hard credit check would.
Learn how to check your credit score in our guide.
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