Moneybox joins Chip and Atom in upping rates on saver accounts

Moneybox has become the latest fintech to increase the interest rate on its savings accounts, upping the rate on its long-term savings account by nearly 70 per cent.

The digital wealth manager, which has recently raised £35m in a Series D funding round, has upped the interest rate on all three of its saving accounts.

It follows the likes of Atom Bank and Chip, which have also made increases on their savings accounts recently.

The moves come amid the Bank of England upping its interest rate back to the pre-pandemic level of 0.75 per cent.

The interest rate on Moneybox’s Simpler Saver account last week went up from 0.47 per cent to 0.74 per cent; on its 32-Day Notice account from 0.71 per cent to 1.20 per cent; and on its 95-Day Notice from 0.74 per cent to 1.25 per cent.

The lift will be welcome news for Moneybox savers, looking to squirrel away savings.

Interest on the 95-Day Notice Account had previously gone down to 0.6 per cent but was upped to 0.74 per cent in January this year.

In 2020, amid an environment of rock-bottom interest rates, Moneybox removed its 95-Day Notice Savings Account, telling existing customers of the Investec-provided account that they would no longer be able to deposit more cash into their accounts, only withdraw funds.

Atom Bank, meanwhile, has increased the rates on its Instant Access Saver from 0.65 per cent to 0.75 per cent.

Atom Bank is now offering an interest rate range of 0.65 per cent to 1.85 per cent on a variety of savings products, with a total of five products increasing their savings rates.

Chip, meanwhile, has upped the rate on its Easy-Access savings account to 0.9 per cent, which was previously at 0.61 per cent for new users.

A Moneybox spokesperson said: "We’re pleased to be able to give our customers an additional boost towards their short-term savings goals by increasing interest rates on our savings accounts.

"Having a rainy day fund is so important, especially with so much uncertainty about the rising costs of living. However, the fact remains, to make cash savings grow over time, investing remains one of the best ways to grow your money and offset the impact of inflation."