Chase ‘boosts’ interest rate on savings account to 4.75% for 6 months with £3M limit

Digital bank Chase has increased the fixed bonus on its easy access account to 1.75% for six months, meaning new customers can lock in a “boosted” rate of 4.75% over this period. Savers can deposit up to £3million in total and can access their as often as they like, with no fees, charges or penalties.

The account can be opened in the Chase app, however, the bank noted the bonus offer is limited and may be withdrawn at any time. Shaun Port, managing director of savings at Chase UK said: “We want to help customers reach their savings goals by providing them with a simple and straightforward way to save. By increasing the bonus offer to 1.75% on our easy access saver for new customers, we hope they can try Chase for the first time and make more of their money.”

Mr Port added: “Easy access savings is just one part of the Chase offer – the Chase current account helps you manage your money in a way that suits you and is a great way of maximising your spending.”

Customers can own up to 10 interest-earning savings accounts with Chase at a time, which the provider says can help people save towards different goals.

Savers aged 18 and over must have a smartphone with a UK mobile number to bank with the provider. They must also be a resident and tax resident of the UK only.

All deposits with Chase are protected up to a total of £85,000 by the Financial Services Compensation Scheme (FSCS).

Chase’s new savings deal comes a week after its announcement to slash its .

Starting April 7, both new and existing customers will only earn 1% cashback on certain grocery, transport, and fuel purchases made in pounds sterling in the UK, Guernsey, and Jersey. Cashback will no longer be available on overseas or non-sterling transactions.

Money Saving Expert took to social media to share his thoughts on the “bad news”, stating the move “will lose its number one status as overseas spending card and cashback card.”

However, the changes only affect which purchases qualify for cashback. Chase says the following terms remain unchanged:

• You can still earn up to £15 a month (£180 a year) in cashback.
• No minimum deposit is required within the first 12 months of opening the account.
• After one year, you’ll need to pay at least £1,500 a month into your accounts to qualify for cashback (up from £500 in February 2024).
• Payments must be made with your debit card (not Direct Debit or bank transfer), and Apple Pay, Google Pay, and PayPal will still be supported.

How does Chase’s easy access savings account compare?

For fee-free savings accounts with no withdrawal restrictions, Chase’s account currently leads with its boosted 4.75% AER.

However, Revolu currently offers the top rate for easy-access accounts with its Ultra account. It comes with a £45 monthly fee and takes the lead with an Annual Equivalent Rate (AER) of 5%. Up to £200,000 can be invested, interest is paid daily, and withdrawals are not restricted.

Other providers offering competitive rates include savings app Chip, with an AER of 4.6%. The rate includes a 1.061% bonus for six months and savers can get started with £1. Up to £1million can be invested and interest is paid monthly. There are no restrictions on withdrawals.

For savers with larger deposits and less of a need to access their pots, Monument Bank offers a 4.75% AER on a minimum of £25,000. Up to three withdrawals are permitted per calendar year and interest is paid monthly. Up to £2million can be invested overall.