Index: Home ‣ News ‣ October 2016
12 Oct 2016
Lloyds & TSB banks have followed in Santanders footsteps by announcing big cuts in the interest rates of their flagship current accounts. They will come into effect in January 2017.
At the time of writing TSB have been very open about the details of the cuts, posting information on their website. The Headline details are that from Wednesday 4 Jan 2017 the TSB Classic Plus current account interest rate will be 2.96% Gross on balances up to £1,500. This is a massive drop from the current 4.89% Gross on balances up to £2,000 - it will continue to be this until Jan 4.
Lloyds have be far less forthcoming with information and have as yet (12 Oct) not posted any details on their website. When contacted a spokesperson for Lloyds Bank responded
"We’re making changes to some aspects of our current accounts. We’ve written to all affected customers with a complete breakdown of what's changing & when this'll take effect. These letters should be received shortly."
However, as we understand it - but this has not been confirmed by Lloyds, the main details of the cuts will affect Club Lloyds current accounts. From 8 January 2017 interest rates will be cut, from the current up to 3.93% Gross on balances of up to £5,000, down to 1.98% Gross on all balances up to £5,000.
01 Oct 2016
The start of a new Month has brought in a trio of rate cuts over the last few days. This time the cuts have come to Regular Saver accounts. First it was M&S Bank on 29th Sept, followed the next day by First Direct and HSBC Banks. All have trimmed 1% off of their 1 year Regular Saver accounts. No reasons have been forthcoming from these banks as to why they have cut them by 4x the 0.25% bank rate cut of August. These accounts still feature at the Top of our Regular Saver table along with Nationwide. However they are not just straight forward savings accounts. They all require you to open one of their current accounts. These current accounts also come with their own eligibility criteria that customers must satisfy. Such as a minimum funding each Month and/or setting up and paying Direct Debits.