Chase bank raises interest on easy-access savings account to competitive 2.1% | Personal Finance | Finance
The Bank of England has been increasing its Base Rate nearly month-on-month to help temper the UK’s soaring inflation, and these raised rates have generally been reflected across high street banks and building societies’ offerings. Chase is next to hop on the bandwagon and a new interest rate will be applied to its easy-access account from tomorrow.
Carrying out its first rate rise since the banks’ launch in 2021, Chase will be hiking interest from 1.5 percent to 2.1 percent on Monday, October 24.
The new rate will be automatically applied to the easy-access accounts of new and existing savers.
On the banks’ new offering, Shaun Port, Managing Director for Everyday Banking at Chase, said: “We’re increasing the rate on our saver account to help new and existing customers make their money work harder, in what we know is a challenging time for everyone.
“With costs increasing, having greater flexibility and access to savings, without being charged fees, is increasingly important for people when managing their money.
READ MORE: ‘Competitive’ savings account now boasts an interest rate of 4.60%
However, once the balance across all saver accounts reaches £250,000, account holders won’t be able to pay in any more cash, but will still earn interest.
Interest is calculated daily and awarded to accounts monthly – unlimited withdrawals are also permitted.
Chase bank accounts also offer a number of additional benefits, including a one percent cashback on everyday debit card spending for a year and five percent interest on round-ups.
Gatehouse Bank’s Easy Access Account and Sainsbury’s Bank’s Defined Access Saver (Issue 33) follow closely behind with AERs of 2.8 percent and 2.75 percent respectively.
However, competing with a similar offering as Chase but with a higher rate of interest is Zopa’s Smart Saver with an AER of 2.15 percent.
Zopa’s saver also allows customers to open personalised pots however, a maximum of £85,000 can be deposited to the account in total before account holders are no longer allowed to submit any more cash.
