AL RAYAN Closing Accounts

I know many of us utilised AR for a long time with their savings accounts when they were at/near the top of the charts for a very long time, however that hasn't been the case since late May.

Many would have withdrawn funds to maybe a penny or a pound just to keep a relationship, but they are now closing those accounts.

I've been advised that mine will close in 60 days and my balance will be transferred to a charity at that time unless I deposit a minimum £2500.
It is still possible to manually W/D until then also.

No problems with them closing it from my side, just an advisory that you'll possibly get the same letter.
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Comments

  • Al Rayan are paying 5.95% for a 1 year fix.
  • I have an Everyday Saver with ~£1 in it, but haven't received a letter yet. I have quarterly interest paid from fixed rate accounts to the Everyday Saver (from where I withdraw the money), so I'll either have to change this to another account (if possible) or pay in £2500 to keep the account open. I presume you can just withdraw the £2500 and everything resets for another 60 days?
    'Compound interest is the eighth wonder of the world. He who understands it, earns it; he who doesn’t, pays it' - Albert Einstein.
  • friolento
    friolento Posts: 866
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    I too had that letter, and I am happy for my remaining 5p, plus interest on it, to go to charity :)

    I had really only kept the pennies in this account to preserve my online access, in case Al Rayan were going to offer a market leading rate I would be interested in again. They didn't, so this seems to be the end of an era. It used to be a great account to have for a considerable length of time. The 'rot' started when they stopped SOs from the savings account. Oh well, onwards and upwards.
  • Wheres_My_Cashback
    Wheres_My_Cashback Posts: 4,264
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    edited 27 October 2023 at 4:26PM
    I have an Everyday Saver with ~£1 in it, but haven't received a letter yet. I have quarterly interest paid from fixed rate accounts to the Everyday Saver (from where I withdraw the money), so I'll either have to change this to another account (if possible) or pay in £2500 to keep the account open. I presume you can just withdraw the £2500 and everything resets for another 60 days?
    That certainly would be a way to initially preserve your customer relationship with them, however I suspect once they've written to you they may keep a closer eye on the account in regard to minimum balance requirements which I believe originally was £5k.
  • Rudyson
    Rudyson Posts: 294
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    It'll be intersting to see if I get the letter. I have about £50 in the savings a/c, but also have a 12 month fix with them
  • I have an Everyday Saver with ~£1 in it, but haven't received a letter yet. I have quarterly interest paid from fixed rate accounts to the Everyday Saver (from where I withdraw the money), so I'll either have to change this to another account (if possible) or pay in £2500 to keep the account open. I presume you can just withdraw the £2500 and everything resets for another 60 days?
    That certainly would be a way to initially preserve your customer relationship with them, however I suspect once they've written to you they may keep a closer eye on the account in regard to minimum balance requirements which I believe originally was £5k.
    The current Everyday Saver says 'minimum deposit of £5000' and nowhere in the summary box could I find information about a minimum balance (it just says you can withdraw money as often as you like). I understand deposit to mean 'a sum of money paid in to an account', which is different to a minimum balance.
    'Compound interest is the eighth wonder of the world. He who understands it, earns it; he who doesn’t, pays it' - Albert Einstein.
  • Wheres_My_Cashback
    Wheres_My_Cashback Posts: 4,264
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    edited 27 October 2023 at 5:01PM
    I have an Everyday Saver with ~£1 in it, but haven't received a letter yet. I have quarterly interest paid from fixed rate accounts to the Everyday Saver (from where I withdraw the money), so I'll either have to change this to another account (if possible) or pay in £2500 to keep the account open. I presume you can just withdraw the £2500 and everything resets for another 60 days?
    That certainly would be a way to initially preserve your customer relationship with them, however I suspect once they've written to you they may keep a closer eye on the account in regard to minimum balance requirements which I believe originally was £5k.
    The current Everyday Saver says 'minimum deposit of £5000' and nowhere in the summary box could I find information about a minimum balance (it just says you can withdraw money as often as you like). I understand deposit to mean 'a sum of money paid in to an account', which is different to a minimum balance.
    I believe there used to be a min £5K balance requirement a long while back which was possibly changed to a deposit requirement, but the letter clearly states now that the 'Minimum Balance Required' is £2500'
  • pearl123
    pearl123 Posts: 2,047
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    I'm happy to remove the last little bit of my money, as they're no longer competative. 
  • masonic
    masonic Posts: 22,892
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    edited 27 October 2023 at 6:25PM
    I had a letter from them in the spring giving me a date they would close one of my accounts that had a zero balance for well over a year, but it's still there, unused, today.
  • Beddie
    Beddie Posts: 558
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    They should close accounts with next to nothing in, as it's costing them money. They recently sent me, by post, an annual statement of charges - none, obviously. What a waste of money and resources.
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