Savings update: banks yet to breach Goldman Sachs offer

Published by Sylvia Morris on 17 October 2018.
Last updated on 17 October 2018

Banks continue to raise rates after the launch last month of the Marcus savings account from Goldman Sachs.

But none have yet breached the 1.5% rate offered by the US investment bank.

This week, Virgin Money launched a new version of its Double Take E-Saver at 1.42%. However, it limits savers to just two withdrawals a year, while the Marcus account has no such restrictions.

Other good deals without restrictions include Charter Savings Bank’s Easy Access account and Shawbrook’s Easy Access account, both paying 1.4% interest, while Paragon Limited Edition Easy Access account pays 1.37%.

On fixed-rate bonds, OakNorth has upped the rate on its six-month bond to 1.8%, while, for one year, it pays a top 2.02%. Shawbrook Bank and Charter Savings Bank both offer 2.01%.

Charter Savings Bank pays the top 18-month rate at 2.11%, followed by Investec at 2.10%. You can earn slightly more if you tie up your money for two years – 2.27% with Shawbrook Bank or 2.25% with Tandem Bank or Investec Bank.

On tax-free cash Isas, Paragon Limited Edition Cash Isa, offering a rate of 1.37%, is among the best deals. Leeds Building Society’s Limited Issue Online Access Isa pays 1.38%, but the account runs only until December next year. Virgin Money Double Take E-Isa also pays 1.38%, although you are restricted to two withdrawals a year. 

On one-year fixed-rate cash Isas, Aldermore pays 1.6%, followed by Paragon Bank at 1.55% and Charter Savings Bank and Bank of Cyprus UK both at 1.54%.

The top two-year deals are 1.82% from Bank of Cyprus UK, or 1.8% from Aldermore Bank.

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