UK challenger bank Tandem unveils fixed saver accounts
UK digital challenger bank Tandem is making more progress with the launch of three fixed saver accounts.
As reported in February, it debuted its first product in the UK – a travel cashback card. Which followed its acquisition of Harrods Bank following regulatory approval.
In the latest development, customers will earn up to 2.30% fixed interest paid annually on a three-year account with one initial deposit.
David Goodwin, product manager at Tandem, says fixed saver accounts “offer people the opportunity to put away money securely with guaranteed returns” and “you’ll be able to watch your savings grow in our money management app”.
The accounts (one year, two year etc) will live in the Tandem banking app. To sign up customers complete an online form “in a matter of minutes” and then move onto the app for account management.
Tandem explains that customers cannot withdraw any money from a fixed saver account until the end of the product term. The bank will contact users with various options before this happens.
Next on the agenda is a second card to add to Tandem’s integrated suite of products, managed using its app. Tandem says it also has plans to launch an instant access savings account. No timelines for either of these ambitions.
Last month, Tandem bought Pariti, a money management app with 95,000 users.
Pariti was founded in 2014 by Matthew Ford, who is the company’s CEO. It is understood that he is now joining Tandem, alongside Pariti’s CTO Peter Townsend. So perhaps it is more of an “acqui-hire” than an acquisition.