- Yolt, the smart thinking money app, shows how 7.4 million people could benefit from better visibility of their savings accounts and gain greater money confidence
- Yolt users can also now view their Marcus: by Goldman Sachs savings account and Monzo Pots in the Yolt app
New research released today from Yolt, the smart thinking money app, has found a large number of UK adults could be losing out on up to £100 million a year in combined potential earnings – simply by not investing their savings. The study of over 2,000 UK adults found that one in four (24%) leave their savings untouched in their current accounts and 14% do nothing with their savings at all. On a nationwide scale this could mean that almost 7.4 million UK residents are overlooking their savings.
Yolt, has worked with leading economics consultancy CEBR to calculate the real-life cost of doing nothing with savings, based on the average rate of return for various investment tools.
The calculations revealed that if the estimated 7.4 million UK adults who currently ‘do not invest their money into anything at all’ placed just £84 a month (or £1000 a year) in a fixed rate ISA, at 1.43%, then their potential combined earnings could be over £100 million a year*.
While it may not be possible to know precisely how much the UK adults lose out on every year by leaving savings dormant, it is certain that many would benefit from a clearer view of their money.
The research also uncovered a clear lack of money confidence amongst UK adults:
- Fewer than half of the adults surveyed (47%) ‘feel comfortable making financial investments’, with this figure falling even lower – to 36% – among female respondents.
- One in five (20%) of those who ‘felt uncomfortable making financial investments’ said they would be more likely to invest if they had more information on the options available to them.
- Demand for financial information was particularly noticeable for 18-35 year olds. With more than a third (35%) stating they would be more likely to invest if they had more information; and
- 25% wished they had more tools to help them track and manage their investments.
Yolt makes it easier to save
This research has been released to coincide with Yolt’s latest in-app offering which will now allow users to easily view their Marcus: by Goldman Sachs savings account and Monzo Pots in the Yolt app. These latest additions will enable users to have a clear and comprehensive view of their savings as well as their spending habits, all in one place.
Cristel Lee Leed, Chief Marketing Officer, Yolt, comments:
“The start of a new financial year is a great time to find that positive money mindset and revisit your savings routines. Principles such as paying yourself your savings first on payday, can be a great way to start the month on the right foot. Combining this behaviour with tools that give you better visibility of all your financial accounts, means you can spend smart and even boost your savings further at the end of the month, topping up with your unspent monthly budget. You’d be surprised how quickly your savings build up!
“Our research shows that although people in the UK have a strong savings mindset, it is often a lack of visibility and money confidence that prevents them from investing. If you don’t have a clear view of your finances in real-time, it can be difficult to save effectively. We are extremely pleased to announce that users are now able to see both their Marcus: by Goldman Sachs savings account and Monzo Pots within the Yolt app, giving them a clearer view of their hard-earned savings.
“Saving is the first step in developing healthy money habits and if more people have the confidence to do so, they can then experiment with diversifying their savings into investments, such as stocks and shares ISA’s.”