Cahoot Instant Access Savings interest potential issue

Tony_J

My Cahoot instant access account pays interest Monthly. I recently "upgraded" the account as they were going to drop the interest rate. Without going into details (though if you'd like me to I'm happy to do so) The amount I'm getting has dropped substantially. Balance has remained roughly the same and the interest rate is not that different. No tax deduction changes have occurred. I've sent a secure message to query this and thought I'd drop this message to see if anyone else has experienced this. Or if you may know of a reason I hadn't thought of.

If people seem interested I'll let you know what response I get from Cahoot.

slinger2

I think that when you upgrade the date you get interest changes. You'll be credited with the interest for that part of the month since you last received interest. From now on you'll get it monthly but on a different date.

DiamondLil

When I upgraded my account, interest was paid to the date of upgrade and future interest was paid a month later, and monthly from then on.

wiseonesomeofthetime

As per what the two previous posters have said, has been my experience with similar "Santander" accounts, so I guess Cahoot are the same. My Cahoot EA are Annual Interest still though as there was no facility to change upon upgrade.

Woodstok2000

You can work it out to check. I was getting around £120 interest per month, I renewed 10 days after my interest payment and got almost exactly 1/3 of my usual payment. I then got a full payment 1 month later and each month from then on.

Tony_J

Thanks for the replies.

Now looking more closely at the dates interest was paid I think that may be the answer.

5 April, 5 May, 5 June 5 July looked about right. 24 July, 11 August looked low

So I guess 24 July was partial months interest on old account and 11 August partial month interest on new account.

Silly me

400_Hertz

My Cahoot Simple Saver account was opened earlier in 2026 with 4.08% (Issue 14?) interest but dropped to 3.98% after a month or so (like most other banks). An interesting aspect of Cahoot is that when higher interest rates (like now at 4.52% Issue 18) become available I'm not informed of the option being available to me by Cahoot.

Using the account dashboard to upgrade to the higher rate is easy once you know the button is there, but the rate achieved after my own upgrade this week is 4.43% and not the headline advertised 4.52% that I was expecting. I did ask about the discrepancy but was not able to get a definitive answer. I assume the higher rate is using annual interest rather than monthly.

I'm happy with Cahoot, but you need to keep an eye on rising rates available yourself as only reducing rates will automatically be updated on your account. For those accounts with close to the maximum balance, this could mean £2K lost over a year.

friolento

https://forums.moneysavingexpert.com/discussion/comment/82130563#Comment_82130563

It is extremely rare to get notified of new issues of savings accounts - you have to monitor this yourself. The MSE Forum is an excellent resource for developments in the savings arena.

Regarding the rate, you are right, the lower rate is the monthly rate

Issue	Opening period	Annual payment	Monthly payment
18	From 4 Aug 2026 — current	4.52% AER / 4.52% gross	4.52% AER / 4.43% gross
17	2 Jul–3 Aug 2026	4.32% / 4.32%	4.32% / 4.24%
16	14 Apr–1 Jul 2026	4.17% / 4.17%	4.17% / 4.09%
15	26 Mar–13 Apr 2026	3.55% / 3.55%	3.55% / 3.49%
14	5 Jan–25 Mar 2026	4.05% / 4.05%	4.05% / 3.98%
13	10 Oct 2025–4 Jan 2026	4.40% / 4.40%	4.40% / 4.31%
12	25 Sep–9 Oct 2025	4.20% / 4.20%	4.20% / 4.12%
11	20 Aug–24 Sep 2025	4.40% / 4.40%	4.40% / 4.31%
10	23 May–20 Aug 2025	4.55% / 4.55%	4.55% / 4.46%
9	28 Apr–22 May 2025	4.41% / 4.41%	4.41% / 4.32%