Rate Update: Dollar Savings Direct Lowers Rate

Dollar Savings Direct has lowered its online savings account rate yet again to 3.05% from 3.20%. It was expected as overall interest rates are falling but it is still one of the highest I’ve seen out there. It is definitely discouraging to see interest rates fall especially for savers, but some interest is better than no interest.

If you’re dependant on interest income for retirement, you should look at some investments that can earn a higher return. Savings accounts can’t keep up with inflation plus you’ll be taxed your income tax rate on any interest earned.