Clear Bank? Raisin moving to them from Starling. - Update (its fast!)

Sea_Shell

Morning

I hold a handful of accounts via Raisin and have been happy with the platform and how it works.   

However, yesterday, I received an email stating that they are moving from using Starling as their cash holding account and are moving to using ClearBank, which will still be FSCS protected.

Now I've never heard of them, so I had a quick Google, and it seems they are a commercial bank, used for clearing funds for third parties, with accounts held at the Bank of England.   They are not for retail customers directly.

Their website states, with regards to FSCS...

"FSCS-protected deposits are a part of our Banking-as-a-Service (BaaS) proposition. A FSCS-protected deposit is a physical account held with ClearBank and is only available to our BaaS customers for the purpose of sending and/or receiving payments. The balance of a FSCS-protected deposit is held by ClearBank and can be viewed via the ClearBank Portal and the API. Additionally, FSCS-protected deposits are reconciled for you by ClearBank."


So I take it from this that any cash funds held "in transit" as it were with Raisin would be covered, for the short period they are in the ClearBank part of the platform, either waiting to be "invested" or withdrawn.

Anything i've missed?

If not, treat this post as "for information only" 

Millyonare

https://www.altfi.com/article/10037_raisin-partners-with-clearbank-for-embedded-banking

Sea_Shell

Sounds promising and that payments should be quicker, both in and out.

aroominyork

Sea_Shell said:

Sounds promising and that payments should be quicker, both in and out.

Agree. The overnight - or was it two days? - time lag in deposits showing in my account was not impressive.

Sea_Shell

Maybe this will now remove the main reason that people didn't fancy using the platform...the lag.

Will see how it goes and report back.

Sea_Shell

Well, that's good!!!


Just transferred £10 as a test payment to Raisin, using the new account details, and it's there NOW, so pretty instant.


Payee confirmation worked too.


Impressed.

Janeway224

 Substantial bond matured at raisin 31st January. Despite complaints money still not arrived in my account. I see that Raisin is a best buy at moment. Am not alone with this issue (see Trustpilot) 

Sea_Shell

FYI - I requested the £10 test payment back out to my current account, and it's arrived, about 5 mins later.

So it would appear that YES, they are now using Faster Payments for money in and out of their holding account.

Obviously you still have to wait for maturing funds to be transferred into your holding account, but once there that bit is definitely MUCH quicker now.

...and today is SATURDAY!! 

ian16527

Janeway224 said:

 Substantial bond matured at raisin 31st January. Despite complaints money still not arrived in my account. I see that Raisin is a best buy at moment. Am not alone with this issue (see Trustpilot) 

I have just had 2 mature in January
No issues with receiving payment

aroominyork

Sea_Shell said:

Obviously you still have to wait for maturing funds to be transferred into your holding account, but once there that bit is definitely MUCH quicker now.

Well... NO. They should credit funds of maturing bonds immediately. My son had a three year bond with Aldermore held through HL Active Savings maturing on 31 January. On the morning of 31 January the funds were credited to his HL holdings account. Raisin should be no different.

Sea_Shell

aroominyork said:

Sea_Shell said:

Obviously you still have to wait for maturing funds to be transferred into your holding account, but once there that bit is definitely MUCH quicker now.

Well... NO. They should credit funds of maturing bonds immediately. My son had a three year bond with Aldermore held through HL Active Savings maturing on 31 January. On the morning of 31 January the funds were credited to his HL holdings account. Raisin should be no different.

My next maturity date is 11th April, so i'll see what happens and report back.