Tandem Bank raises its easily accessible savings account to the best buy rate of 5%
- App-based Tandem Bank has increased the rate on its easy-to-access accounts to 5%
- The rate includes a top-up of 0.35%
- Highest easy access rate since January 2009
Tandem Bank today raised the interest rate on its easily accessible savings account to 5 percent, following the Bank of England’s interest rate hike last week.
The new rate includes a 0.35 percent bonus for 12 months.
The deal beats Secure Trust Bank to the top spot of best-buy easy-access accounts – it offers 4.65 percent.
According to Moneyfacts, it is the first time since January 2009 that there is an easily accessible savings account that pays out more than 5 percent.
Tandem now offers the market-leading, easy-to-access account after raising rates to 5 percent
Accounts can only be opened and managed through the Tandem app and savers can open an account with £1.
Savings with Tandem are protected up to £85,000 per person by the Financial Services Compensation Scheme.
Tandem’s latest rate hike closes the gap between the interest rate set by the Bank of England, which stands at 5.25 per cent, and rose by 0.25 percentage points last week.
Tandem launched in 2014 and four years later bought Harrods Bank, giving it a full banking licence. It is headquartered in Blackpool, Lancashire.
In addition to savings products, it also offers car financing, mortgages and home loans.
Elsewhere, there are 11 providers offering rates of 4.5 percent or more in the independent tables of This is Money Savings.
The best solution for a year offers 6.06 percent and comes from SmartSave. This is better than the best fixes over any length, including over five years.
The best easily accessible money Isa has a rate of 4.4 percent and comes from Cynergy Bank.