EGG Money - 4% on positive balances

nig0609

As many already know, having a positive balance on the Egg Money credit card earns 4% interest - and this is an attractive rate these days.
Is it save to deposit about 10k in there? i.e. is it covered under FSCS? a link to proof would be great

Responses to online secure messaging used to always take less than 24hours, now it states "We will respond to secure messages as soon as we can, please be aware that your reply may take up to 3-4 days."
It seems obvious they are cutting down on staff, should we be worried if we have savings on held on a EM CC?

97trophy

nig0609 wrote: »

should we be worried if we have savings on held on a EM CC?

IMO no.

Citibank have already received $50 billion from the US Govt. I expect a full nationlisation in the event of further large losses at Citi and so I think your money is safe.

YorkshireBoy

nig0609 wrote: »

is it covered under FSCS? a link to proof would be great

Log in, click "need help?", then "Egg Money", and then select "regulation and tax" from the drop down box.

Note: The numbers are a little out of date (they still show the old £31,700 maximum limit).

nig0609

Thank you 97trophie and yorkshireboy, quite out of date and i guess they are probably "too big to go under"

yamster

Brilliant! I was going to ask this very question. Thanks.

oldone_2

Out of interest the egg web site has been 'undergoing maintenance' for almost two days.

For an internet based bank this is quite worrying since they ask that the first point of contact is through their website.

lisyloo

It's working fine for me both yesterday and today.
Maybe it's jsut the specific parts of the website that you can't access, but I've been able to check my Egg Money card.

financial_warrior

Given Egg have already withdrawn Egg Money from sale, and that their standard interest rate on savings is just 1.5% AER, expect the interest rate on Egg Money to come tumbling down very soon, as the deposits mount-up.

YorkshireBoy

financial_warrior wrote: »

Given Egg have already withdrawn Egg Money from sale, and that their standard interest rate on savings is just 1.5% AER, expect the interest rate on Egg Money to come tumbling down very soon, as the deposits mount-up.

Given that they're paying a 2% bonus for 12 months on new savings accounts opened (ie 3.5% AER), they don't seem too concerned about paying decent rates at the moment though.

Maybe 4% on Egg Money will be with us for a while yet?...unless there's something of a stampede with existing customers? However, the more savvy of them will have opened the 12 month 6.3% fixed rate account last year...so won't be too worried yet.

bilbo_2

can you transfer (positive balance) cash from egg money 4% to egg savings 3.5% instantly ??

Thanks

YorkshireBoy

bilbo wrote: »

can you transfer (positive balance) cash from egg money 4% to egg savings 3.5% instantly ??

No, not instantly. My recent transfer request was actioned overnight, although I've previously known it to take up to 3 days or so.