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

Rate cut for thousands of Marcus and Saga savers

Written by:
Thousands of Marcus and Saga customers will see the rate on their easy access account fall next month while for new sign ups, the lower rate kicks in today.

Marcus, the retail arm of US banking giant Goldman Sachs has cut the rate on its easy access account from 1.3% to 1.2%.

The change is effective from today for new customers opening the account. For existing customers, the rate reduction takes place on 7 May.

The challenger has cut the rate three times in recent months after bursting onto the British savings scene in September 2018 with a market-leading rate of 1.5%.

But it’s been massively popular with Brit savers as Marcus has amassed more than 500,000 customers with £17bn in deposits in its easy access product and recently launched one-year fixed saver offering 1.45%.

Saga, which partners with Marcus to offer savings products, has also cut the rate on its easy access account to 1.2%, which includes a 12-month bonus of 0.2%.

It follows a similar move by Virgin Money which paid a table-topping 1.31% on its double take e-saver before slashing the rate to 1.01% last week.

Since the Bank of England cut the base rate twice to an unprecedented low of 0.1%, banks have slashed their offerings on savings accounts.

However, the top paying easy access account now is offering 1.25% (Aldermore) while Vanquis Bank offers 1.6% on it’s one-year fixed rate bond.

Investec’s 95-day notice plus account offers 1.6%, showing that despite the base rate cut, there are some good savings rates available.

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.

Flight cancelled or delayed? Your rights explained

With no sign of the problems in UK aviation easing over the peak summer period, many will worry whether holida...

Rail strikes: Your travel and refund rights

Thousands of railway workers will strike across three days this week, grinding much of the transport system to...

How your monthly bills could rise as the base rate reaches 1.25%

The Bank of England has raised the base rate to 1.25% as predicted – the fifth consecutive rise in just six ...

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.

DIY investors: 10 common mistakes to avoid

For those without the help and experience of an adviser, here are 10 common DIY investor mistakes to avoid.

Mortgage down-valuations: Tips to avoid pulling out of a house sale

Down-valuations are on the rise. So, what does it mean for home buyers, and what can you do?

Five tips for surviving a bear market mauling

The S&P 500 has slipped into bear market territory and for UK investors, the FTSE 250 is also on the edge. Her...

Money Tips of the Week