Chase Bank paying 1% interest on Current Account

TheBanker

RG2015 said:

It is also simple and quick to transfer from the current account to the savings account.

Why would anyone leave money in the current account earning 1% when it would earn over 3 times more in the saver.

I've always kept a balance in my Chase current account to cover my debit card spending. Transferring from savings is indeed easy, but not something I want to do every time I buy a cup of tea in the work canteen! I've normally transfer about £200 to the current account to cover my spending, then top it back up to £200 when it starts to run low. 

So the 1% interest will benefit me, although given I only keep a small balance in the current account it will generate less than £1 per year (so missing out on up to £2 by not keeping it in the Savings account). 

Band7

Don’t spend that interest all at once 🤠

RG2015

TheBanker said:

RG2015 said:

It is also simple and quick to transfer from the current account to the savings account.

Why would anyone leave money in the current account earning 1% when it would earn over 3 times more in the saver.

I've always kept a balance in my Chase current account to cover my debit card spending. Transferring from savings is indeed easy, but not something I want to do every time I buy a cup of tea in the work canteen! I've normally transfer about £200 to the current account to cover my spending, then top it back up to £200 when it starts to run low. 

So the 1% interest will benefit me, although given I only keep a small balance in the current account it will generate less than £1 per year (so missing out on up to £2 by not keeping it in the Savings account). 

I’ll admit I was playing devil’s advocate a bit.

I lose far more in possible interest by keeping larger amounts in my main current accounts (not Chase). There is a limit to how much I faff about to get a few more pennies a month versus the convenience factor.

1% on up to a few hundreds in a current account is just not worth the bother for me.

SouthCoastBoy

I do the same as other posters have mentioned in this thread, keep a small balance on the current account of around £100 and the majority in the savings account, so not sure the 1% interest is going to benefit me very much, maybe £1 a year if i'm lucky

I only have about £50 discretionary spending a month from the debit card.

Dietofsoup

I remember a seasoned, albeit under one of their previous many iterations, poster.stating that they'd be furious if they'd be even 1p underpaid interest from a different organisation.

Later they decided the 5% Chase linked round up account wasn't worth it (this was a year ago when rates were poor).

TheBanker said:

RG2015 said:

It is also simple and quick to transfer from the current account to the savings account.

Why would anyone leave money in the current account earning 1% when it would earn over 3 times more in the saver.

I've always kept a balance in my Chase current account to cover my debit card spending. Transferring from savings is indeed easy, but not something I want to do every time I buy a cup of tea in the work canteen! I've normally transfer about £200 to the current account to cover my spending, then top it back up to £200 when it starts to run low. 

So the 1% interest will benefit me, although given I only keep a small balance in the current account it will generate less than £1 per year (so missing out on up to £2 by not keeping it in the Savings account). 

Similar here - very useful

I remember a seasoned, albeit under one of their previous many iterations, poster.stating that they'd be furious if they'd be even 1p underpaid interest from a different organisation.

Later they decided the 5% Chase linked round up account wasn't worth it (this was a year ago when rates were poor).

And now the 1% is being derided by them

VXman

I still use my First Direct account as my main bank account (pension paid in, a couple of direct debits) even though I have many other accounts for various rewards (Halifax, Lloyds, Nat West etc)

I think it's just habit as I used it for 20 plus years when I had an offset mortgage. I guess I keep around £3000 in it on average. Don't think I'll be bothered with the hassle of changing stuff over to Chase  for £30 a year.

Band7

There are a lot of people who don't understand that the 5% roundup is a 12 mths Regular saver with very severe deposit amount limitations. Probably even more who haven't worked out how much/how little they will get from the 1% interest on their current account balance. Anyone who is looking at the bottom line they can gain from banks is highly unlikely to use Chase for other than perhaps the very occasional debit card spend. This is not to say that there aren't even worse banks, with even more customers than Chase have.

hildasmuriel

I love having the round-up on my Chase account.
It makes my accounting easier and my account book look neater as everything is in round pounds.
I've only earned £4.05 interest so far but that's not that important
I don't notice the rounding up so when the amount is paid to my savings account next month (currently £263), it feels like bunce

Happy customer here.

Dietofsoup

hildasmuriel said:

I love having the round-up on my Chase account.
It makes my accounting easier and my account book look neater as everything is in round pounds.
I've only earned £4.05 interest so far but that's not that important
I don't notice the rounding up so when the amount is paid to my savings account next month (currently £263), it feels like bunce

Happy customer here.

Same here

5% isn't to be sniffed at.

Dietofsoup

Dietofsoup said:

hildasmuriel said:

I love having the round-up on my Chase account.
It makes my accounting easier and my account book look neater as everything is in round pounds.
I've only earned £4.05 interest so far but that's not that important
I don't notice the rounding up so when the amount is paid to my savings account next month (currently £263), it feels like bunce

Happy customer here.

Same here

5% isn't to be sniffed at.

And nor is 1% on an account lots of us use for just keeping a minimum balance in but benefitting on the 1% spending day to day too.

Happy customer here too.