Marcus cuts easy-access saver rate again to 1.05%
Marcus, Goldman Sach’s digital savings bank, has cut the interest rate for its online save again, from 1.2% to 1.05%, the Daily Mail reports.
The new rate is effective immediately for new customers, and will kick in from 30 May for its half a million existing customer base.
The latest cut comes less than a month after Marcus cut its online saver interest rate from 1.3% to 1.2% on 17 April.
“Following the Bank of England’s reduction to the base rate, savings rates across the market have continued to fall,” the bank said in a statement.
“We’re committed to remaining consistently competitive, but we do need to respond to changes like this.”
On 19 March, the Bank of England cut its base rate to 0.1%, after cutting it from 0.75% to 0.25% just days before. The latest cut takes the base rate to its lowest ever level.
A bank as big as Marcus bringing its easy-access rate down to 1.05% is likely to have a knock-on effect for other banks’ savings offerings. Marcus has gathered £17 billion from savers since its launch in September 2018.
RCI Bank, which is a lot smaller than Marcus, still offers an easy-access account which pays 1.2% – but this could soon change.
Ford Money decided to launch a lower 1.07% flexible saver after Marcus’ first cut, previously planning to launch it with a 1.25% rate. On Tuesday, Shawbrook Bank cut the rate on its easy-access account for new savers from 1.15% to 1%.
And just a few days ago, Marcus also pulled its 1.45% one-year fixed-rate account from sale after launching it at the end of May this year.
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