AJ Bell launches cash savings hub
The cash savings hub will allow savers to browse a range of savings accounts in one place and open as many as they like from a range of UK-authorised banks.
The platform will be free to use for savers, with AJ Bell paid by the relevant savings institutions. There are currently 26 savings accounts to choose from six banks and this range will be expanded as the service grows.
Customers can choose between fixed term or notice accounts offering competitive savings rates over a variety of time periods, helping them improve returns from their cash savings.
An AJ Bell cash savings hub account can be set up online in a few minutes and savings accounts applied for immediately, with no paperwork required.
The hub contains a filtering tool and calculator so customers can evaluate the fixed-term and notice accounts available before investing.
Once opened, the savings accounts can be viewed alongside each other and alongside any investments held in other accounts with AJ Bell.
When a savings account matures, customers have two options:
- Move the money into another fixed term or notice account available via the cash savings hub
- Withdraw the money to their nominated bank account
The AJ Bell Cash savings hub is available to both existing and new customers of AJ Bell Youinvest.
The launch comes at a time when a number of savings providers have slashed interest rates. NS&I is cutting interest rates on some of its most popular accounts to 0.15% or 0.01% in November.
Former best buy easy access savings account Marcus from Goldman Sachs is reducing its underlying interest rate from 1.05% to 0.7% AER on 12 October.
Andy Bell, chief executive of AJ Bell, says: “The coronavirus crisis has shown just how important it is to have cash savings set aside but with interest rates so low, savers have to work hard to get a competitive rate. Scouring the market and switching accounts regularly is time-consuming and a large majority of customers we questioned welcomed the ease of doing this using our cash savings hub.
“The cash savings hub will make it easy for people to generate better returns from their cash savings by providing access to a range of accounts offering competitive interest rates via one simple service. Savings with each bank will still benefit from the FSCS protection up to £85,000 and there will be no need to go through a lengthy application process each time a new account is opened. No form filling, no paper-work and all completely free to use.
“Customers will be able to see their cash savings alongside their investments if they have other accounts with AJ Bell, providing a single view of their savings and investments in one secure place.”