The Top Easy Access Savings Discussion Area

Bridlington1

patpalloon said:

Bridlington1 said:

BestSeagull said:

Stargunner said:

BestSeagull said:

Zopa_Trooper said:

I'm wondering whether anybody else will bother challenging Tandem now. The BoE bank raise was 0.25%, anybody exceeding Tandem is going to have to raise their rate by nearly 0.5%. A step too far?

I think there are going to be a huge amount of people, even those who are rate chasers, who are not comfortable with App only banking. So the field is still wide open for the rest.

Why would people not be comfortable with app only banking. 

I prefer it, as it makes logging in far easier, especially with face recognition.

It must just be me then!

I don't think it's just you. I think a lot of people are sceptical of app based banking for similar reasons to why many were skeptical of online banking when it first came about.

Personally whilst I'm comfortable using an app only bank, I'm still not the biggest fan of app only banking largely because with online banking if my smartphone breaks, I can still log into online banking through my laptop whilst I get a replacement, with app only I'd have to source a new phone before I could access my money. Also if a new version of the app comes out that isn't compatible with my smartphone I will run into issues. I also type much quicker on a laptop than I do on a phone, so I usually find using any sort of webchat much quicker if it is an online webchat rather than an app based webchat, but this is just personal preference really.

I'll still quite happily use an app only bank and have been using the likes of Chip and Tandem for a number of months, but I do still prefer to have the option of online banking as a failsafe option if possible.

You could access app through tablet if anything were to happen to your phone.

I don't have a tablet so that could be difficult in my case. It's a good idea for those who have tablets though.

PixelPound

pecunianonolet said:

SAC2334 said:

jaceyboy said:

I guess Chip are out of the top for good?

They have till Friday with me . 14 th in the league is no good 

Skimming some cream from the top for as long as they can before outflows become too high. Slow movers keeping their funds not being bothered by a few days of a lower rate before they might up the rate or people not even know yet of the 5% Tandem offer. Not everyone is chasing here daily or even hourly. 

You also have to think they factor how long they will be at the top for. Tandem's move has probably caused others to pause for a rethink. Any bank thinking of passing the full 0.25% on to take them in the 4.75%+ region probably now has to think if it's worth it. It's unlikely to pull in new customers whilst Tandem is easily beating that, those that chase the 0.1% will have gone over to Tandem on day 1 or their rise. So you are left with those who might swap out at some point and those that will stick as the rate is still fairly decent.

Maybe it's a case of deciding whether to raise now, or wait a month and raise big. Chip could wait until September and then go to 5.01% rather than going to 4.76% or 4.81% in the next week.

@jaceyboy would you stay if Chip raised to 4.76% before 14th - i.e. gave the full BoE rise?

housebuyer143

So everyone has me thinking, chip and tandem... If I lose my phone, how do I access my money? I download the app on another device and then how would I recover my account?

jaceyboy

@jaceyboy would you stay if Chip raised to 4.76% before 14th - i.e. gave the full BoE rise?

Yes I am with Chip, I pulled money from Shawbrook to fill up Tandem, and Chip is full, much prefer the apps way of banking and also instant transfers 

SAC2334

nic_c said:

pecunianonolet said:

SAC2334 said:

jaceyboy said:

I guess Chip are out of the top for good?

They have till Friday with me . 14 th in the league is no good 

Skimming some cream from the top for as long as they can before outflows become too high. Slow movers keeping their funds not being bothered by a few days of a lower rate before they might up the rate or people not even know yet of the 5% Tandem offer. Not everyone is chasing here daily or even hourly. 

You also have to think they factor how long they will be at the top for. Tandem's move has probably caused others to pause for a rethink. Any bank thinking of passing the full 0.25% on to take them in the 4.75%+ region probably now has to think if it's worth it. It's unlikely to pull in new customers whilst Tandem is easily beating that, those that chase the 0.1% will have gone over to Tandem on day 1 or their rise. So you are left with those who might swap out at some point and those that will stick as the rate is still fairly decent.

Maybe it's a case of deciding whether to raise now, or wait a month and raise big. Chip could wait until September and then go to 5.01% rather than going to 4.76% or 4.81% in the next week.

@jaceyboy would you stay if Chip raised to 4.76% before 14th - i.e. gave the full BoE rise?

I would stay with Chip at 4.75 % personally and that's what I expect they will do this week. They are getting trounced by too many at the moment.

FindingBBob

nic_c said:

pecunianonolet said:

SAC2334 said:

jaceyboy said:

I guess Chip are out of the top for good?

They have till Friday with me . 14 th in the league is no good 

Skimming some cream from the top for as long as they can before outflows become too high. Slow movers keeping their funds not being bothered by a few days of a lower rate before they might up the rate or people not even know yet of the 5% Tandem offer. Not everyone is chasing here daily or even hourly. 

You also have to think they factor how long they will be at the top for. Tandem's move has probably caused others to pause for a rethink. Any bank thinking of passing the full 0.25% on to take them in the 4.75%+ region probably now has to think if it's worth it. It's unlikely to pull in new customers whilst Tandem is easily beating that, those that chase the 0.1% will have gone over to Tandem on day 1 or their rise. So you are left with those who might swap out at some point and those that will stick as the rate is still fairly decent.

Maybe it's a case of deciding whether to raise now, or wait a month and raise big. Chip could wait until September and then go to 5.01% rather than going to 4.76% or 4.81% in the next week.

@jaceyboy would you stay if Chip raised to 4.76% before 14th - i.e. gave the full BoE rise?

I would be very surprised if Chip went above Tandem. Chip are not lending any money, they only make margin via arbitrage holding funds with the BoE - to only make 0.25% would not make sense for them. Equally, surprised though by Tandem, must have a significant liquidity squeeze or cash requirement - they will not be make much NIM on 5%. Think you are right, more likely to see previous leaders nudging to 4.75% sort of territory - Tandem may well pull the product by the end of the week.. that is what others are probably waiting on. 

TiVo_Lad

FindingBBob said:

Tandem may well pull the product by the end of the week.. that is what others are probably waiting on. 

The Tandem Instant Saver has been available for years; it's not like other institutions that have different issues at different rates. It's just a single product with a variable rate that's available to all customers, old and new. Unless they were planning a major change in direction, it doesn't seem likely that they'd pull the whole thing.

What they may do, however, is pull the "Top Up" bonus for new customers which takes the rate back to 4.65%; not bad but hardly earth shattering.

By putting a country mile between themselves and the rest of the market suggests that they do want cash and they're prepared to pay for it, as you point out. It may be to fund expansion or a new product range rather than an indication of a squeeze. It will probably have attracted hundreds of millions in new deposits.

dlevene

New Tandem account opened and funded with a small payment in 4 minutes. I for one love the challenger providers.

I appreciate the accessibility concerns but they're making use of incredibly low overheads to offer excellent products. 

BreakingGlass

TiVo_Lad said:

According to Moneyfacts (been waiting to say that!) Paragon Bank Double Access Savings Account - Issue 1 up to 4.75% from tomorrow (09/08). Minimum £1K balance.

https://www.paragonbank.co.uk/savings/double-access-account (currently 4.6%)

@soulsaver

If you follow the link the Paragon website is still showing 4.6%

However, if I login to my account it shows 4.75% as expected.

TiVo_Lad

Interesting quote from the CEO of Principality this morning regarding their half-year results.

Suggests we won't hear anything from them for another week (on average) and they might not pass on the full rate rise anyway. The Double Access Saver would only rise to 4.7% if they passed on the full amount of the last BoE increase. Unless they pass on some of the increases they've previously held back, it looks like their accounts will start falling behind.