Savings

Chip – Chip Smart Cash ISA 

Commenting on the deal, Caitlyn Eastell, Personal Finance Analyst at Moneyfactscompare.co.uk, said:

“This week, Chip has boosted the rate on its Chip Smart Cash ISA and now pays a market-leading 4.63% AER. While this is a competitive headline rate, it includes a generous 1.13% bonus which expires after 12 months so it’s crucial that savers review their returns after this period, otherwise they could see a significant drop. However, adding to its appeal, the account can be opened with as little as £1 and may be an ideal option for savers starting their savings journey while still making the most of their tax-free allowance. This account may be an ideal option as a home for emergency funds as savers can make unlimited penalty-free withdrawals but it’s worth noting that no interest is paid for the month if they decide to close or transfer their cash out of the account. Investors looking to make the most of the account could choose to pay the £5.99 fee every 28 days for a ChipX subscription which gives them wider or exclusive access to some features. The deal secures an Excellent Moneyfacts product rating.”

Key product details: 

• Rate: 4.52% gross / 4.63% AER payable monthly (including a 1.08% gross / 1.13% AER bonus for 12 months)
• Notice / term: None 
• Minimum opening amount: £1
• Maximum investment amount: ISA allowance
• Access: Permitted, no interest paid for the month if account is closed or transferred out 
• Further additions: Permitted
• Transfers in: Not permitted
• Transfers out: Permitted, no interest paid for the month if account is closed or transferred out 
• Opening account: Via its mobile app
• Managing account: Via its mobile app
• Other information: Minimum applicant age 18. Investors have the choice between holding a fee-free Chip subscription or paying a £5.99 fee per 28 days for a ChipX subscription. Flexible ISA rules apply. 

Mortgages

first direct – Two-year fixed rate mortgage, 60% loan-to-value 

Commenting on the deal, Caitlyn Eastell, Personal Finance Analyst at Moneyfactscompare.co.uk, said:

“first direct is among a handful of lenders to increase fixed rates for a second time in September, it has increased almost all of its fixed rates by up to 0.26%. The two-year deal at 60% loan-to-value has seen a smaller increase and is now priced at 4.81%. Despite the rise, it takes the leading position as a ‘Best Buy’ when the deal is assessed a whole. For borrowers trying to keep upfront costs low, this may be an ideal option as it has a smaller than average £490 booking fee and offers a free valuation incentive. Adding to its appeal, for homeowners with flexibility in their budgets, overpayments are permitted. On assessment, this product earns an Outstanding Moneyfacts product rating.”

Key product details:

• Rate: 4.81% fixed rate for two years
• Product fee: £490
• Maximum loan-to-value: 60%
• Available to: House purchase customers
• Incentives: Free valuation 
• Flexible features: Allows overpayments 
• Lending area: Great Britain and Northern Ireland.

Buy-to-let

TSB – Five-year fixed rate mortgage, 80% loan-to-value 

Commenting on the deal, Caitlyn Eastell, Personal Finance Analyst at Moneyfactscompare.co.uk, said:

“The latest update from TSB sees it increase its fixed rate mortgage range by up to 0.20%. One deal to see this rise is the five-year deal at 80% loan-to-value which is now priced at 5.69% until 31 January 2032. Despite the rise, it maintains a competitive position as a ‘Best Buy’ due to its free valuation incentive, this also helps offset its slightly larger £1,995 product fee. Overall, the deal earns an Outstanding Moneyfacts product rating.”

Key product details:

• Rate: 5.69% fixed rate to 31.1.32
• Product fee: £1,995
• Maximum loan-to-value: 80%
• Available to: Second-time buyers
• Incentives: Free valuation 
• Flexible features: Allows overpayments 
• Lending area: Great Britain.

Banking

Lloyds Bank – Club Lloyds

Commenting on the deal, Caitlyn Eastell, Personal Finance Analyst at Moneyfactscompare.co.uk, said:

“Current account customers looking to switch may be pleased to see that Lloyds Bank has added a new £200 switch incentive to its Club Lloyds account. Consumers will need to switch using the Current Account Switch Service (CASS) and meet certain conditions. Customers with larger balances can earn up to 3%, however, those with balances exceeding £5,000 will miss out on any credit interest being paid. Although there is a monthly £5 fee, this is quickly offset by its range of lifestyle benefits and lucrative cashback offers, additionally this fee is waived for those crediting more than £2,000 monthly. Further adding to its appeal, consumers will get a £100 interest-free buffer on their overdraft, and it is also interest-free for the first three months on switched accounts, but the rate rises to 29.90% EAR thereafter. Overall, the account earns an Outstanding Moneyfacts product rating.”

Key product details:

• Credit interest / reward: 0.75% gross / 0.75% AER per annum on balances up to £4,000, 2.96% gross / 3.00% AER on balances between £4,000 - £5,000. No interest paid on balances over £5,000 (must pay at least two different direct debits from Club Lloyds current account each calendar month)
• Cashback on debit card purchases: Everyday offers – Earn up to 15% cashback from selected retailers when shopping with a Lloyds Bank credit or debit card. Customers must be registered for online banking and hold a Lloyds Bank current account to be eligible 
• Account fee: £5. Account fee waived if account credited with at least £2,000 per month
• Arranged overdraft: 29.90% EAR, plus £100 interest-free buffer. Interest-free for three months on switched current accounts
• Opening account: Online, by phone, in branch or mobile app
• Managing account: Online, by phone, in branch, mobile app, by post, at the Post Office and text alerts
• Other information: Minimum applicant age 18. £200 cashback for accounts switched using the Current Account Switch Service by 9.12.26, must transfer three active direct debits and previous account must be closed. Eligible for linked Savings Pots. Customers can choose one lifestyle benefit each year from a 12-month Disney+ subscription, cinema tickets, magazine subscription, Gourmet Society membership or digital movie rentals.

first direct – 1st Account

Commenting on the deal, Caitlyn Eastell, Personal Finance Analyst at Moneyfactscompare.co.uk, said:

“The latest update from first direct sees it increase its switching incentive to £210 on its 1st Account for customers who switch using the Current Account Switch Service (CASS). To receive the bonus, customers must fulfil certain criteria to ensure they’re eligible, such as depositing at least £1,000 within the first 45 days and switch at least two direct debits. Customers looking for a free bank account will be pleased to see that the account does not charge any monthly fees and may appeal to consumers looking for some flexibility with their arranged overdraft as it offers a £250 interest-free buffer. However, it’s crucial they note that the rate rises to 39.90% EAR if this buffer is exceeded. Customers looking for credit interest may be left disappointed at the lack of rate, but the current account does come with a linked regular saver that is fixed for 12 months, which may add to its appeal. Overall, the account earns an Outstanding Moneyfacts product rating.”

Key product details:

• Credit interest / reward: None
• Cashback on debit card purchases: None
• Account fee: None
• Arranged overdraft: 39.90% EAR, plus £250 interest-free buffer  
• Opening account: Online, by phone, or via its mobile app
• Managing account: Online, by phone, in branch, mobile app, by post, at the Post Office and text alerts
• Other information: Minimum applicant age 18. £210 cashback for accounts switched using the Current Account Switch Service, including at least two direct debits or standing orders. Within 45 days of opening, £1,000 must be deposited, register and log on to online banking and make five or more debit card payments.