Tandem Bank sceptic

safecyclist

I recently signed up to Tandem Bank's 5% Instant Access Savings account. I've been using Chip's Savings account previously which is 4.51%. Plan is to move my entire emergency savings from Chip to Tandem as they offer a higher interest, but I just don't have confidence in the Tandem app, does anyone else have the same thoughts? With Chip, you see your daily interest tick up, but I've put a small amount of money in Tandem already and I don't see the daily interest being added, even though they claim that the daily interest is calculated daily and added monthly. 

I know that Tandem was on of the first challenger banks therefore I should have some confidence in dealing with them, I just find the experience of using the app to be a bit erm... I feel let down hence the lack of confidence in putting my entire savings in.

Also, they seem to have disappeared from MSE's top easy access savings account??

refluxer

Displaying daily interest accrued isn't common practice, so I'm not sure why that would put you off Tandem ? I have over a dozen different banking apps on my phone and none of them show that information.

Tandem have removed the bonus to new customers so are now only paying 4.65%, which is why they're no longer at the top of the easy access table 

friolento

The reason they disappeared from the MSE top list is that new applicants can no longer have the bonus top-up. If you already have the bonus, you will keep it until it expires or until they remove it with 60 days notice.

I don't share your concerns as they are a fully fledged bank. Interest gets calculated daily and added monthly. Most banks don't show the daily interest calculations, and few savers would check their interest daily. If you are not happy with Tandem, there are alternatives, all with lower rates than the Tandem bonus rate, and most not showing daily interest accruals.

gt94sss2

safecyclist said:
 I just don't have confidence in the Tandem app, does anyone else have the same thoughts? With Chip, you see your daily interest tick up, but I've put a small amount of money in Tandem already and I don't see the daily interest being added, even though they claim that the daily interest is calculated daily and added monthly. 

Chip showing "daily" interest in an app is a bit of a gimmick. All banks calculate the interest daily..

safecyclist

Thanks all! I appreciate the responses. Seeing the daily interest rate count is a personal preference and a nice to have in my opinion, each to their own as they say right? it's up to me to decide what criteria I use to decide who I bank with, however I do welcome the feedback, it will help me decide  Thanks. 

dwsjarcmcd

safecyclist said:

Thanks all! I appreciate the responses. Seeing the daily interest rate count is a personal preference and a nice to have in my opinion, each to their own as they say right? it's up to me to decide what criteria I use to decide who I bank with, however I do welcome the feedback, it will help me decide  Thanks. 

It's entirely up to you as you say.  Personally the daily addition doesn't bother me but having monthly interest added as opposed to annual interest does, indeed all my EA accounts add interest monthly.  I opened a Tandem account when it had the bonus and am more than satisfied with it (including the app).

Reg_Smeeton

safecyclist said:

Thanks all! I appreciate the responses. Seeing the daily interest rate count is a personal preference and a nice to have in my opinion, each to their own as they say right? it's up to me to decide what criteria I use to decide who I bank with, however I do welcome the feedback, it will help me decide  Thanks. 

Cynergy Bank allows you to see daily interest on your account, currently offering 4.8% interest

Stargunner

Would you also have no confidence with Santander, Halifax or Nat West, because their apps also don’t add the daily interest to their savings accounts. 

searching4bestrates

Tandem are FSCS protected and so you're covered up to £85,000 in the rare but of course possible event that something went drastically wrong for them. They've been around for many years (not that that necessarily counts for much either way).

I agree the Tandem app is maybe a little clunky, but personally, I'd rather a better rate and a less friendly user interface.

Based on the feedback from other forum posters I've seen regarding CHIP over the last few months I personally wouldn't use them for my savings, despite historically them having a top rate. Nevertheless the same applies regarding FSCS protection for ClearBank, which is where your money with CHIP is actually stored.

For me, displaying daily interest isn't a big issue and in my experience isn't the "norm". Interest with Tandem is definitely calculated daily and added monthly.

Everyone has a preference, of course, but there isn't anything "wrong" with Tandem in terms of confidence that your money is safe (under FSCS protection rules).

horsewithnoname

Got a Tandem account with the 5% and I’m perfectly happy with it, it’s no better or worse than any of the other banking apps that I’ve got. 

S_uk

I'm a bit confused why anyone would be a 'sceptic' about Tandem because they don't show daily interest being added. Sceptical that they aren't legitimate or trustworthy? Wouldn't that mean you'd be thinking the same about the vast majority of banks since they do the same?

even though they claim that the daily interest is calculated daily and added monthly. 

In what way is Tandem's claim wrong?