Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@.

Search
  • FIRST POST
    • MSE Karl
    • By MSE Karl 12th Dec 17, 6:18 PM
    • 71Posts
    • 22Thanks
    MSE Karl
    Digital Banking
    • #1
    • 12th Dec 17, 6:18 PM
    Digital Banking 12th Dec 17 at 6:18 PM
    Hi!

    This is the discussion thread for the



    Click reply below to discuss. If you haven't already, join the forum to reply.


    Thanks folks,
    Last edited by MSE Karl; 06-02-2018 at 5:00 PM.
Page 3
    • jimroy
    • By jimroy 15th Dec 17, 1:04 PM
    • 36 Posts
    • 11 Thanks
    jimroy
    It states on this site and theirs that Chip are FCA regulated, yet I can't find them on the register: https://register.fca.org.uk/ShPo_Homepage

    Maybe I'm not searching correctly. I filtered by 'e-money' and it brought up zero results under "Chip."

    Maybe someone else could shed more light on this?
    • Anthorn
    • By Anthorn 15th Dec 17, 1:21 PM
    • 3,662 Posts
    • 945 Thanks
    Anthorn
    It states on this site and theirs that Chip are FCA regulated, yet I can't find them on the register: https://register.fca.org.uk/ShPo_Homepage

    Maybe I'm not searching correctly. I filtered by 'e-money' and it brought up zero results under "Chip."

    Maybe someone else could shed more light on this?
    Originally posted by jimroy
    It's not Chip itself which is regulated by the Financial Conduct Authority but Prepaid Financial Services of which Chip is an agent.
    Chip is regulated by the Financial Conduct Authority (FCA) through its agency status with Prepaid Financial Services (PFS). You can look PFS up in the Financial Services Register (FSR) and you!!!8217;ll find us on the PFS website too. Sorry about all the TLAs, btw.
    https://getchip.uk/faq
    https://prepaidfinancialservices.com/en/

    I have two objections to Chip: The first is rather obvious in that PFS is registered as an e-money issuer and not part of FCA. So if it goes bust savings could go off into the wide blue yonder. The second is that Chip is misleading in that its website omits the information that appears on the PFS website:
    Prepaid Financial Services Limited is regulated and authorised by the Financial Conduct Authority, as an Electronic Money Institution, registration number 900036.
    In short, it is not a bank and does not have any guarantees that you get from a bank! It has about the same guarantees which a prepaid card has which is not a lot.
    Last edited by Anthorn; 15-12-2017 at 1:37 PM. Reason: Let two paragraphs added
    • colsten
    • By colsten 15th Dec 17, 2:08 PM
    • 9,025 Posts
    • 7,791 Thanks
    colsten
    For a comparison, when I had a problem with Santander where money just disappeared from my account with no trace (they admitted fault) it took 3 months to get the issue rectified and I was still out of pocket.
    Originally posted by bub19
    If you are out of pocket due to no fault of your own, you have not used the complaints process properly. Banks will always give you at least a tenner extra as an apology, and they will reimburse any loss if you are not at fault.
    • MSE Andrea
    • By MSE Andrea 15th Dec 17, 2:49 PM
    • 9,050 Posts
    • 21,846 Thanks
    MSE Andrea
    NEWBIES, or not, we were asked if we could share our experience of using the chip app. This is the Thread that the link took us to.
    Originally posted by Oreo71
    We LOVE newbies. Welcome to the Forum Oreo71
    Could you do with a Money Makeover?


    Follow MSE on other Social Media:
    MSE Facebook, MSE Twitter, MSE Deals Facebook, MSE Deals Twitter, Forum Twitter, Instagram, Pinterest
    Join the MSE Forum
    Get the Free MoneySavingExpert Money Tips E-mail
    Report inappropriate posts: click the report button
    Point out a rate/product change
    Flag a news story: news@moneysavingexpert.com
    • sandierich
    • By sandierich 16th Dec 17, 9:20 AM
    • 3 Posts
    • 0 Thanks
    sandierich
    Chip app
    Hi,

    Question for app users.
    Is the interest on the app tax free, or do they apply tax as the banks do, depending on your income?

    Thanks
    Sandie
    • The Mighty Gusset
    • By The Mighty Gusset 16th Dec 17, 9:46 AM
    • 147 Posts
    • 202 Thanks
    The Mighty Gusset
    Chip Automatic Savings
    So I read through everything I could find and the majority of the information seems to be positive. I'm having trouble logging in as it keeps throwing up internal errors with different codes and now am a bit nervous as to whether it's trying to tell me something! Would be great to see a few more MSE forum users comment if they've had a good experience. I can't really afford to lose out on money owed to me, no matter how small.
    Originally posted by Cbq
    I've read all the posts on here, and did a bit of digging around elsewhere on the interwebby thing, and I've decided to give it a go.
    The sign up went through smoothly and everything seems to be working.
    I see they're also raising funds on Crowdcube to help them on to the next stage of becoming a proper bank - I might give that a go.
    I don't think there's much likelihood of savers losing their money - for that to happen Barclays would have to go bust.
    Gus.
    • Anthorn
    • By Anthorn 16th Dec 17, 10:18 AM
    • 3,662 Posts
    • 945 Thanks
    Anthorn
    I've read all the posts on here, and did a bit of digging around elsewhere on the interwebby thing, and I've decided to give it a go.
    The sign up went through smoothly and everything seems to be working.
    I see they're also raising funds on Crowdcube to help them on to the next stage of becoming a proper bank - I might give that a go.
    I don't think there's much likelihood of savers losing their money - for that to happen Barclays would have to go bust.
    Originally posted by The Mighty Gusset
    So therefore you as a Chip account holder have a Barclays Bank savings account and when you want to withdraw your savings you could go into a Barclays Bank branch armed with your sort code and account number and ID. Yes or No?

    If no then it's likely to be Chip which controls the savings account in which case if Chip goes bust your savings could go off into the wide blue yonder! The fact that Chip has to raise funds in crowd funding doesn't make me want to get a Chip account.
    • Vortigern
    • By Vortigern 16th Dec 17, 10:48 AM
    • 2,456 Posts
    • 1,653 Thanks
    Vortigern
    Is the interest on the app tax free, or do they apply tax as the banks do, depending on your income?
    Originally posted by sandierich
    The interest will be taxable, like all non-ISA interest, but Chip will not deduct any tax. No banks deduct tax from your interest these days.

    As a basic rate taxpayer, you have a tax-free savings allowance of 1000, so there may be no tax to pay.
    • Oreo71
    • By Oreo71 17th Dec 17, 9:52 AM
    • 3 Posts
    • 1 Thanks
    Oreo71
    If in Doubt...
    So I read through everything I could find and the majority of the information seems to be positive. I'm having trouble logging in as it keeps throwing up internal errors with different codes and now am a bit nervous as to whether it's trying to tell me something! Would be great to see a few more MSE forum users comment if they've had a good experience. I can't really afford to lose out on money owed to me, no matter how small.
    Originally posted by Cbq
    If you don't trust it, don't do it. I had exactly the same problem trying to set up the app, so decided to not bother with it, especially after visiting this Forum. There are plenty other traditional sources to achieve a decent interest rate, and if you have enough to save, this can be spread out through a few different accounts. Check out the best bank account guide on this website and see what suits your needs. There are current accounts that offer good % rates, as well as regular savings accounts with amounts of up to 250 per month allowed to be deposited. These are all banks that are fully FSCS protected if, in the unlikely event, something were to happen to the bank. Also, you will definitely receive your interest.
  • TeamChip
    Interest payment issue
    Hey neloalmeida,

    Really sorry you had this issue and you're unhappy with Chip.

    The issue was a technical bug that affected under 20 accounts - we are enormously sorry for that and we worked as fast as we could to fix it. As our customer service team explained the interest was always on it's way to you - it's just the technical bug delayed the payment - this has now been resolved and will not happen again.

    Security & account safety is at the center of everything we do as a business. Sometimes that is to a detriment of getting bugs fixed quickly. We could have just moved money across into your account in a couple of days, however this would have been against regulation and not a secure way of operating. I hope you appreciate that, but I understand how frustrating the delay must have been.

    With regards to our customer service - we have sat down as a team and looked at how the case was dealt with. We are a small team but that is no excuse for not delivering regular updates to you and for that I apologise.

    Hopefully we'll see you back saving with us soon - until then - please accept my apologies and have a good Christmas.

    Alex,
    one of Team Chip
    Verified Company
    I am a verified representative of Chip. MSE has given permission for me to post in response to queries about the company so that I can help solve issues. You can see my name on the verified companies list. I am not allowed to tout for business at all. If you believe I am please report it to forumteam@moneysavingexpert.com This does NOT imply any form of approval of my company or its products by MSE.
    • oldagetraveller
    • By oldagetraveller 21st Dec 17, 1:20 PM
    • 3,120 Posts
    • 1,633 Thanks
    oldagetraveller
    The fact that Alex can't spell would put me off immediately. If a company rep. can't do that it speaks volumes about the calibre of their staff.
    Did you hear about the politician who had a backside transplant? It rejected him.
    • eskbanker
    • By eskbanker 21st Dec 17, 2:03 PM
    • 7,417 Posts
    • 7,980 Thanks
    eskbanker
    The fact that Alex can't spell would put me off immediately. If a company rep. can't do that it speaks volumes about the calibre of their staff.
    Originally posted by oldagetraveller
    That seems an unnecessarily petty reaction - perhaps my spelling or grammar isn't up to scratch but the only faults I could find in that post (if I was minded to do so) would be a superfluous apostrophe in "it's" when being used in the possessive, and an American-style "center", neither of which would signify corporate incompetence to me....
    • CafeGirl90
    • By CafeGirl90 28th Dec 17, 3:13 PM
    • 5 Posts
    • 3 Thanks
    CafeGirl90
    Testing the algorithm ...
    I was massively sceptical about this idea of giving a system access to one of my accounts, and letting it decide how much I could save. In the end, curiosity got the better of me - although if this hadn't been mentioned on MSE I would have assumed it was a scam.
    The reason I'm curious is that I develop algorithms for a living (not financial algorithms I should add) and I know how "data-poor" our current account transactions are. There is really no pattern to our ins and outs.
    (This isn't due to out of control spending - it's because nearly everything goes onto a credit card and that is automatically paid off in full from our current account - so there are very few transactions but those there are are large and infrequent.)

    I suspect I will end up transferring far more manually than the algorithm proposes - I've had this App for 2 weeks now and it's suggested making only 1 transfer (of a seemingly entirely random amount of 49.74).
    That said, I love the concept of making transactions manually when the mood takes me, and very simply. I wish my current account made transferring money from it to a "normal" savings account as easy.
    Some kind of micro-transaction facility would be more helpful (as I believe there is a limit of 6 manual movements a month?) but I suspect the processing costs associated with the more transactions being made mean this is not cost effective.

    Summary: Happy enough right now.
    • Kitty89
    • By Kitty89 29th Dec 17, 4:39 AM
    • 3 Posts
    • 0 Thanks
    Kitty89
    Hi,

    I've been using chip for just a couple of weeks, all fine so far, although obviously no interest paid yet. I probably wouldn't be if my bank wasn't ok with third party apps, I think a lot of people are wisely holding off until the legislation regarding that changes. I wanted to ask, is anyone using Plum? And does it take Direct Debits like Chip does? As so many of the interest paying accounts require Direct Debits, I'm always on the lookout for a couple more !!!128522;
    • Kitty89
    • By Kitty89 29th Dec 17, 4:49 AM
    • 3 Posts
    • 0 Thanks
    Kitty89
    [QUOTE=CafeGirl90;73624647]
    I suspect I will end up transferring far more manually than the algorithm proposes - I've had this App for 2 weeks now and it's suggested making only 1 transfer (of a seemingly entirely random amount of 49.74).[the/QUOTE]

    Yeah I was pretty annoyed that even with the savings level up to the max it only took 37 quid. Can't really blame it though as it goes by past three months and every time I get money spare i put it in a different account, so it looks like I'm spending as much as I earn. Hopefully it will catch in a couple months.
    • CountyGirl
    • By CountyGirl 7th Feb 18, 8:17 AM
    • 2 Posts
    • 5 Thanks
    CountyGirl
    Chip
    I have had Chip since July last year (2017) and I love it. It has saved 700 for me that I would have just frittered away otherwise. I can't praise it highly enough. For me, it's not so much about the interest, but just the fact that I have saved money that I wouldn't have without it.

    If you find saving hard, then I definitely recommend it.
    • cottingleybingley
    • By cottingleybingley 7th Feb 18, 1:54 PM
    • 34 Posts
    • 67 Thanks
    cottingleybingley
    I've been using Chip for about a year now and I really like it. I just plugged it into my main bank account and every few days I get a notification from the app telling me how much it has calculated I can afford to save, and giving me until 4pm that day to cancel. It has never caused me to go overdrawn. I was a bit reluctant at first to hand over my account details, but I'm now satisfied it is as secure as the bank's own security. I think this will become very commonplace now the new open banking regulations are in force.
    • paulh2008
    • By paulh2008 7th Feb 18, 3:40 PM
    • 16 Posts
    • 4 Thanks
    paulh2008
    Open Banking or Free For All?
    I was tempted by the 3% and the info in the MSE email this morning, until 1) I saw my money wouldn't be covered by the 85,000 guarantee and 2) I saw some of the comments on here.

    Not touching it with a bargepole now, and I'm somewhat surprised that MSE is pushing it so hard.
    Originally posted by The Goose
    I won't be touching ANY open banking with a bargepole. At best you will be flooded by spam/cold calls trying to get you to buy/invest, at worst scammers will already be working on frauds using registered companies names - including that of the illustrious Martin Lewis, and spoof websites.
    • adindas
    • By adindas 9th Feb 18, 8:44 PM
    • 3,549 Posts
    • 2,198 Thanks
    adindas
    Voluntarily giving away my financial privacy for the sake of a 3% interest rate? Are you having a laugh? Data is the new oil. This app is a trojan horse to access your data, whilst pushing the sweeteners it offers with no reference to its main agenda. This company will never disclose exactly what they are doing with your data, nor how valuable it is to them. Until you are sure about how they will exploit your data, do not agree to it. Protect your privacy. We have very little left. It is not worth it. The house always wins.

    These guys will profit from the use of your data much more than you'll profit from the 3% interest rate.
    Originally posted by frankles
    This is also my main concern with this account.

    Human eyes is more reliable to see the balance on the account than an App. Human brains are smarter than this tool.

    Why do they want to analyse someone A/C ??
    What benefit people wil be getting letting app analysing their account,
    How could the app know what you are planning to do with the money on the account in the future ??
    Why do not they just giving people interest of 3% ???
    Why MSE keep pushing it ??

    But I still wonder what could eventually go wrong with letting an app to analyse your account ??
    Is there any chance of breaching the T&C with your current account with another bank??
    Last edited by adindas; 10-02-2018 at 3:17 PM.
    • Curls2208
    • By Curls2208 9th Feb 18, 10:28 PM
    • 50 Posts
    • 25 Thanks
    Curls2208
    I got this yesterday. Maybe I should have been a bit more cautious before signing up......

    anyway! Is there a thread on here where people are sharing promo codes with each other so I can get 5% rather than 3? I can't find one.
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

3,043Posts Today

8,356Users online

Martin's Twitter
  • Quick #eng pre-match poll. What result do you predict?

  • I agree this glitch wasn't flights for 1p it was flights for c. £200 - I think many would've expected that to be th? https://t.co/QUTnlBLPkj

  • Was the BA fare glitch fair? Are you one of those let down by BA cancelling cheap flights to Tel Avivandr Dubai? H? https://t.co/PvN8Zaxbue

  • Follow Martin