Consumers who compare savings accounts before Christmas could set themselves up nicely for a happy new year.

Those who compare savings accounts in the next few weeks could ensure their finances are in healthy shape come the new year, if recent comments from an expert are anything to go by.

Whether you’re looking for a high interest savings account, online equivalent or the best isa rates, finding the right type of product for one’s needs is crucial, said Reza Attar-Zadeh.

Mr Attar-Zadeh is director of savings and investments at Abbey Savings and remarked on recent research by the lender that showed one in five British consumers to have no money at all kept aside for a rainy day.

In addition, a third of the survey’s respondents said they would break open their piggy banks and use an average of £221 in savings to pay for festive gifts and celebrations.

Over half of those questioned are planning to cut back on expenditure in the coming weeks, while one million are set to return the presents they receive for cash.

But the bank said people should be careful not to keep cash stashed away just for use at Christmas.

“Whether savers decide to put their money aside for the long term, for a specific purpose such as a Christmas or a holiday, or for emergencies, the most important thing is to work out a plan of action that works for them,” Mr Attar-Zadeh suggested.

Abbey Savings’ research follows another survey it carried out this year, which discovered that over a quarter of parents have no investments or money put aside for use in times of need or as a nest egg their offspring can use in later life.

The company said mums and dads are likely to be facing an “uphill struggle”, due to rising childcare costs, the increasing price of education and other fees such as gas and electricity bills. Some 29 per cent of the parents surveyed said they intend to start saving a bit more on a monthly basis.

One thing that every taxpayer should be interested in is finding ways to keep more of your money before it is taken away through taxes. An ISA savings plan may be just the thing to keep your money in your account where it belongs.

Today a cash ISA is the best way to stay on top of inflation and make the most of your savings. The commercial interest rates along with the tax free consequences of the accounts make it the ideal way to be financially responsible.

There is a limit to the amount of money that can be put into an ISA savings account, but it makes sense to keep a savings account with the maximum deposit amount as a part of your financial plan. Today, banks and lending institutions are clamoring for cash deposits which means that you are likely to get a great interest rate on your account.

The amount that you put in your cash ISA is safe during the year, with the amount of the deposit returned along with interest at the end of the year. However, you should be aware that any withdrawals made on the account during the year cannot be replaced. The limit on the account is for the entire year and the total amount that is deposited counts toward that amount.

You will also lose interest for any amount that you withdraw during the year, which results in a penalty that you may not be willing to incur. Savers with a cash ISA may be eligible for a bonus at the end of the year if no withdrawals are made on the account. Make sure that you check out the interest rates and any bonuses that are available with various savings accounts.

Those who keep the account for a year can decide to roll over the amount and take advantage of a new year of savings. The maximum amount you can deposit starts again at the beginning of a new year. This allows savers to accumulate the amount that they earn on their account.

The cash ISA can be purchased with a variable or fixed rate for interest. The variable rate plans change throughout the year and are dictated by the rates determined by the Bank of England. Some account holders find that its necessary to find a new account provider at some point during the year to get a better rate.

See my blog to learn more about individual savings accounts and learn more about choosing the best cash ISA for your needs.