Interest Rate Rise


#1

With interest rates largely expected to rise next month, what’s the impact on Starling’s in credit interest rate? Will it track with the base rate or is it fixed?


#2

This could make a big difference if the gap between Starling and competitors is too wide.

Few are going to use Goals at 0.50% if elsewhere they can gain 1.5%

It’s all about the :pound::pound::pound::pound::pound:


#3

Especially with inflation at 3% and still expected to go up. Any money in Starling is already depreciating at 0.5% :frowning:


#4

Bumping this thread as the Bank of England announced the first interest rate today in more than a decade. I for one would be interested to know if Starling will increase their saving and borrowing rates? Will they track the BoE base rate?


#5

Looking at the in app interest rates section, the interest rates for positive balances haven’t changed since June (0.5/0.25 depending on balance) and negative balances since may (15%).

It would be interesting to know if there are plans to change these.


#6

We need the market space populated which will enable us to start shopping around for the best deals regarding interest rates


#7

Hello everyone!

I’ve checked this for you and can confirm that, currently, we have no plans to change our pricing or interest rates.

Thanks


#8

Don’t you just love phones and their predictive text.

How to change the context of a statement lol


#9

Whoopsies - thanks for flagging @PaulUK!


#10

Hey guys I’m new to Starling. Just wondering that interest rate is 0.5% up to£2000 and 0.25% over£2000.

If I have say £3000 in my account, would I get 0.25% interest rate or would it be 0.5% for the first£2000 then 0.25% for the remaining £1000?

Thanks.


#11

On a £3,000 balance, you will get 0.5% on the £2,000 and 0.25% on the £1,000.

Hope this helps.


#12

Hi, Just responding to reinforce @Ben 's response here. You’ll earn 0.5% on positive balances up to £2,000 and then anything over will earn interest at 0.25%.


#13

Thanks guys. Appreciate the quick response.


#14

I put in £2000 last month into Starling just to see how much interest I would get. I only got £0.17 instead of the estimated £0.83 that I calculated? That works out as 0.1%. Any ideas?


#15

@girish If you had £2,000 cleared balance every day for the whole of May, you should have received 85p interest.

I was a little concerned myself and asked yesterday for clarification on how interest is calculated. Mine may have been correct - I’d need to check the cleared balance each day on my statement - but I expected to receive more.


#16

Oh right, that might be the reason. Thanks for clearing the confusion.


#17

I received £0.61 for my first month interest in May. That covered the £0.59 cashback charge from a small convenience store that I had no option but to ask for £50 cashback because the stupid cash machine inside the shop refused and spat out my Starling debit card. Anyway, I didn’t join Starling Bank for the interest, I get plenty of current account interest from both my Lloyds and Nationwide accounts. :laughing:


#18

I know it is offtopic… did you log that with CS?


#19

No I haven’t reported it to CS as clearly the ATM hadn’t been updated to accept the card which is really beyond Starling Bank control. The shopkeeper, who couldn’t have been more helpful, told me that it happens regularly with lots of other cards and hence why she offered cashback. At the time, I needed the dosh to pay for something in cash, so the 59 pence cashback charge was just something I had to take the hit on, but as I say, I’ve really lost nothing at the end of the day with the 61 pence interest return.