HL Active Savings

HL says about Active Savings "We don’t charge you directly, instead we charge our banking partners. This means the same or similar products offered directly by the banks and building societies may have different interest rates to those available on Active Savings."

That would make you think you would get a better rate going direct, but it ain't necessarily so. One of HL's best fixed term providers is Aldermore offering 1.70% on a 2 year and 1.85% on a 3 year fixed term account. Going direct to Aldermore the rates are 1.60% and 1.70% respectively.

Comments

  • pip895
    pip895 Posts: 1,178 Forumite
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    edited 21 January 2020 at 5:19PM
    I have noticed that as well - it may help that BLME also on the HL active savings site is at 1.8% for a one year fix and 2.1% for three year. (Last week they had 1.95% for the 2 year bond but that's gone now)
  • sebtomato
    sebtomato Posts: 1,109 Forumite
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    Maybe banks make some savings dealing through HL, in term of managing customers, marketing etc. so even though they have to pay HL a commission, the rates on HL can be better than direct.

    Also, maybe HL is "funding" some of the rates, to make its overall platform attractive to customers. No other investment platforms have savings account, so it's a competitive advantage but rates have to be decent. Finally, when using the HL savings functionality, some money will sit on a cash account at some point, and HL may be benefiting from it.
  • masonic
    masonic Posts: 23,275 Forumite
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    In some, perhaps all, cases where HL had a better offer available, it was previously available direct. HL active savings seems to work to a different timescale. There is a lag between committing to a product and actually starting to earn interest, and also a lag from products being launched and pulled direct to being launched and pulled through HL.

    If you spot a rate available at HL that's not available direct, you should snap it up quick as it might not be there much longer.
  • TBC15
    TBC15 Posts: 1,452 Forumite
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    After a quick squint at HL its !!!! poor. 1yr deposit BLME 1.8% same same HL and direct.

    90 day notice BLME 1.7% direct, HL best offering Aldemore 3 month 0.95%.

    Your probably best of using MSE tools.
  • pip895
    pip895 Posts: 1,178 Forumite
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    TBC15 wrote: »
    After a quick squint at HL its !!!! poor. 1yr deposit BLME 1.8% same same HL and direct.

    90 day notice BLME 1.7% direct, HL best offering Aldemore 3 month 0.95%.

    Your probably best of using MSE tools.

    The rates on HL active savings vary almost day to day. Generally they're pretty good though - At the moment they have BLME at 2.1% which as far as I'm aware is about as good as it gets on a 3 year fix. MSE mentions the Raisin offering with a best 3 year rate of 2% but doesn't mention HLs Active savings - Why?
  • aroominyork
    aroominyork Posts: 2,827 Forumite
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    HL also shows a deadline by when a rate has to be snapped up. Not many/any others show that!
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