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Marcus Bank cuts rate on popular easy access account

Joanna Faith
Written By:
Joanna Faith

Marcus Bank has cut the rate on its market-leading easy account from 1.5% to 1.45% for new savers.

The new rate of 1.45% includes a bonus of 0.10%, meaning the overall rate drops to 1.35% after 12 months.

Existing customers will continue to receive the old rate – 1.5% including a 12-month bonus rate of 0.15% – until their bonus expires.

Once their bonus has expired, they will receive the new rate. Customers can easily renew their bonus online via their Marcus account.

Marcus launched its table-topping easy access account on 26 September 2018.

The deal was the highest easy access rate for two-and-a-half years and sent savers into a frenzy, with a staggering 50,000 people opening an account in the first two weeks.

It even spurred other providers to raise rates. Nottingham Building Society, for example, at one point offered 1.55%, although the deal was pulled within 48 hours due to unprecedented demand.

Anna Bowes of Savings Champion, said: “It’s a bit of a disappointment but not wholly unexpected as the account has been at the top of the best buy table for virtually the whole time since its introduction at the end of September 2018.

“As it is only the new bonus rate that has changed, those who opened the account before it was cut, will continue to enjoy a total AER of 1.50% for 12 months from the date the account was opened. It’s only new customers and those renewing the bonus that will earn the lower rate of 1.45% AER.”

Bowes added: “On a maximum balance of £100,000 (although early adopters could have deposited as much as £250,000)  for those who didn’t renew their bonus before today (4th September) this rate cut will mean a loss of interest of just £50 gross over the year.

“For those who want to make sure that they continue to earn the best rates, Cynergy Bank has re-opened it Online Easy Access Account Issue 24 to new customers. It’s paying 1.50% per annum which includes a bonus of 0.75% for 12 months.”