In a decisive move that will impact its customers, Chase has announced it will slash the interest rate on its easy-access Chase Saver account in mere days. Starting Wednesday, February 19, Chase account holders will experience a dip in their returns, thanks to adjustments made in line with the Bank of England’s base rate, currently positioned at 4.5 per cent.
While currency the Chase Saver rate stands at 1.25% below the base, starting from next month it will be 1.5% below, marking a reduction of 0.25%.
However, Chase has made it clear this does not affect other products, stating: “We keep our interest rates under constant review and can change these for one of the reasons set out in our terms and conditions.”
Furthermore, the bank reassured: “We’ll let customers know if there are any changes to our rates in the future.”
This comes hot on the heels of Barclays’ recent cuts to its saving rates for the Everyday Saver and Rainy Day Saver accounts, which were reduced from 1.51% to 1.26% for balances below £10,000. On the brighter side, for those with over £10,000 deposited, the rate sees an uptick from 1.16% to 1.26%.
For prospective Chase customers seeking more robust return rates, opening a new easy-access Savers account could secure them a 1.5 per cent increase.
This offer is valid for six months and is available to those who open a savings account within 31 days of setting up their bank account. As a result, new customers could enjoy an interest rate close to 4.75 per cent when the changes take effect next month.
Other savings accounts available
If you’re dissatisfied with any changes to your savings rate, you always have the option to switch to a different account with another provider. If it’s easy-access savings you’re after, consider the following options:
Chip Easy Access – 4.59%
Chip NTK currently offers a savings rate of 4.59%.
However, this comes with the limitation of only three withdrawals per year. If more than three withdrawals are made, the interest rate drops to 3.49%.
Additionally, the advertised rate includes a fixed bonus of 1.03%, which will expire after six months, suggesting that better deals may be available once the six months are up. More information can be found here.
Atom Bank Instant Saver Reward – 4.6%
Atom Bank’s Saver Reward easy access account rewards customers who make no withdrawals, making it ideal for those who don’t plan to frequently withdraw their savings. Currently, the bank offers a 4.6% rate if no withdrawal is made in a given month.
However, if a withdrawal is made, the interest rate falls to 3%. More details can be found here.
