Credit cards
The over-50s are incredibly sensible with their credit, research by Saga shows. In fact, almost three-quarters have never missed a credit card payment deadline in their entire lives.
So how can you benefit from this strong track record?
The Saga Platinum card is only available to the over-50s and it is a very competitive deal. It is one of the best cards for usage overseas as you aren't charged foreign transaction fees within Europe. For use outside Europe, you'll be charged 1% which is lower than average.
New customers also benefit from a nine-month, interest-free period on both balance transfers and purchases - there is a 3% fee for balance transfers. The Halifax All in One card has the same dual 0% offer, although it is more expensive to use abroad. Is also has a higher standard rate of interest once the 0% deal ends - 15.9%, compared with Saga's standard rate which is 11.9%.
All in all therefore, the Saga credit card is a very attractive deal.
However, there may be better options depending on what you want to use a credit card for. If the primary reason is to make a balance transfer, then Virgin has the longest interest-free period at 16 months. This card has 2.98% balance transfer fee. There is a 0% offer on purchases too, but it only lasts for three months after which time you'll be charged the standard rate of 16.6%.
Alternatively, if you pay your bill off in full each month consider a card that rewards you, such as the American Express Platinum Cashback card. It offers an incredible 5% cashback for the first three months, up to a maximum spend on £2,000.
The cashback rate then drops to 0.5% on the next £3,500 spent on the card, rising to 1.0% on spending between £3,500 and £7,500 and 1.25% on any spending above £7,500.
If you plan to pay off the balance at the end of each month then this is a great card. But of course, with an annual percentage rate (APR) of 19.9%, any cashback would be quickly cancelled out by your interest payments if you don't clear your balance in full.
You'll need a squeaky clean credit history to qualify for these market-leading cards, whatever your age.
Current accounts
Alliance & Leicester's (A&L) Premier 50 account is an exclusive for the over-50s and is stacked with rewards.
During the first year, you earn a competitive 6.00% on balances up to £2,500, after which it drops to 1% (the rate above £2,500 is just 0.1%). Plus, there's a fee-free overdraft for the first year, with a maximum charge of £5 a month after that.
This account does carry a £10 monthly fee, but that may well be worth it if you use all the perks.
It includes annual worldwide travel insurance for account holders up to the age of 79, so if you're globe trotting during your retirement, that's quite a benefit.
The cost of travel cover soars as you get older and some providers won't insure anyone over the age of 70. You can read more about your insurance options in our article 'Insurance - more choice, better deals?'.
However, there are some other fee-free A&L accounts you may also want to consider. For example, the Premier Direct offers the same returns and overdraft facility, but there's no monthly fee. You do have to ensure at least £500 a month is paid in, otherwise you could be hit with fees.
Alternatively, A&L is offering £100 cashback if you open its Premier current account (although you must move your direct debits to the account and pay in at least £500 a month to qualify). The in-credit rate is less competitive than the Premier Direct Account at 0.5% on balances up to £2,500, but you do get free European travel insurance up to the age of 65.
If you want longer-term benefits, then there's the Halifax Reward Current Account. It pays you £5 every month, as long as you pay in £1,000 or more, and this is not just a 12-month introductory offer.
There's no monthly fee but you will pay if you use the overdraft facility - £1 for the first agreed £2,500, £2 for agreed amounts above that amount, and £5 a day for going overdrawn without agreement. This account is therefore not one for those who regularly go into the red.
Savings
If you're over 50, your savings are important - either as a source of income or a future retirement fund. That means you'll want to be confident you've picked the right account.
Although there are a number of age-restricted savings accounts out there, none of them are market leaders. In fact, at the moment, you're better off using a mainstream account.
Have a think about what you want from your money.
If you want to retain access to your savings, the Citibank Flexible Saver Issue 6 has the highest rate at 3.30% - this compares with the leading over-50s' product which is Saga's Online Base Rate Tracker account which is paying just 1.50%.
If you're over the age of 60, you can get a slightly higher rate: Market Harborough Building Society's Onthedot Sixty+ Surfer has a rate of 2.35%, but it's obviously still significantly lower than the rates on the best standard savings accounts.
One thing to point out about the Citibank account is that the rate includes a 12-month bonus, so you should be prepared to move your money again after a year to avoid it dropping down to 1.00%.
Other competitive easy access deals include ING Direct's easy access savings account which guarantees to pay 3.20% for the first year. Again, penalty-free withdrawals are allowed. However, after 12-months the rate drops to ING's standard rate which is just 0.50%.
Perhaps you don't mind a few restrictions on your account in return for a higher rate? In that case, you could consider Sainsbury's Online Saver, at 3.20%. You can pay in between £1,000 and £500,000 during the first 12 months, but you're only allowed to make three withdrawals during that time.
If you've got money you can afford to lock away, you can earn a higher rate. Yorkshire Building Society has a fixed rate bond paying 5.30% but this is a five-year deal and you won't be able to access your savings during that time.
If you don't want to lock your money away for that long, Barnsley Building Society's three-year Online Bond has a rate of 4.70%, while The AA is offering the most competitive two-year deal at 4.35%.
If you want to take advantage of some of the great fixed rate deals available, experts recommend you act quickly.
Kevin Mountford, moneysupermarket.com's head of banking, said: "Swap rates, which fixed rate savings accounts are priced against, have been falling recently so the leading deals may not be around for much longer. If you want to fix your savings I'd therefore suggest you do it now."
If you are considering depositing a large sum then bear in mind that the Financial Services Compensation Scheme only protects the first £50,000 you have saved with any one provider, so you should consider spreading your cash to protect it. For more on this read Clare Francis' article, 'Who owns who?'.
Also, don't forget your ISA allowance - the amount you can save tax-free goes up on October 6 if you're 50 or over. Read our article 'Where to invest your ISA allowance' for a run down of the best cash ISA rates currently available.
Please note: Any rates or deals mentioned in this article were available at the time of writing. Products underlined can be applied for directly.
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