You are here: Home - Saving & Banking - News -

Lloyds cuts savings rates for existing customers

Written by: Paloma Kubiak
Lloyds Bank has slashed interest rates offered to existing customers on a host of savings products, including its Help to Buy ISA.

The banking giant said existing customers with variable rate accounts will see their rate reduced by up to 0.25% from Thursday 8 December. It has written to all affected customers.

It is also reducing the Help to Buy ISA rate for existing customers by 0.50% meaning they will earn 1.50% instead of 2%.  The scheme allows first-time buyers the opportunity to save for a deposit, earn tax-free interest and receive a boost to their coffers from the Treasury.

Customers with a Junior ISA are also affected by the rate reduction – they’ll see their rate fall by 0.50% to 2.50%.

The rate cuts follow the decision by the Bank of England to cut the Base Rate from 0.5% to a record low 0.25%.

A Lloyds Bank spokesperson, said: “We regularly review our savings range and make changes in line with the market and our competitors. In line with our previous announcements following the Bank of England base rate cut, we are reducing the rates for our existing customers with variable rate accounts.  We are writing to all affected customers to give at least two months’ notice of these rate changes, in order to provide them with the opportunity to change accounts should they wish to do so.”

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Unfamiliar banks woo savers with top rates…is your money safe?

If you’ve been keeping an eye on the savings best buy tables, you’ll have noticed some unfamiliar names lu...

What the base rate rise means for you

The Bank of England has raised the base rate by 0.25% to 0.5% – following on from the increase from 0.1% to ...

How to get help with your energy bills

The rise in the energy price cap from April will mean millions of households will pay hundreds of pounds a yea...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week