Yes, itâs an extra minimum ÂŁ50 per year for me. I donât earn ÂŁ50 in the 10 minutes it takes to open an account and transfer the money across, so itâs worth doing.
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I donât regard moving money about, to increase my income, as a hassle. The funny thing about this is that there are many on Monzo, and other very similar banks, that go on and on about pots etc. as it makes their life âeasierâ. That must take up far more time than moving your money across to a better rate considering just how easy it is.
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Sainsburyâs prices. Iâm always shooketh whenever I go any shop lately tbh.
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I check when the rates are announced, hardly every week. Think this is an agree to disagree thing, but if youâre happy with it in Monzo and people are happy to shift around and earn more, then everyone is a winner.
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With Kroo offering (at the time of writing) 4.1% - would love to see Monzo match that:
https://www.moneysavingexpert.com/savings/savings-accounts-best-interest/#easyaccess
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If my maths are right you would have more than ÂŁ150K in an instant access account ?
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With interest rates rising a lot recently, some of the people quoting these figures might want to start thinking about checking whether youâre in danger of maxing out on your tax-free allowance and needing to pay tax on your saving interest. In which case, start using ISAs again. If youâre fortunate enough to be a higher-rate taxpayer, the tax-free limit is lower.
ISAâs are still behind leading instant access, but fixing for a year or more has some good results.
The best strategy I think it to spread your savings around, fix some if you can (I use the 6 & 9 month ones where I know I need the money soon).
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haha! I thought something was wrong ! 
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Monzo arenât desperate for any business
A 0.3% increase will pay for the SIM for my Pixel, so yes, worth it for me. No hassle either - transfer to current account then transfer to new savings account.
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Would expect an Robo Investor platform to do a higher rate
Yep, as they run far smaller businesses, there are about 150 people at Chip, so about 10x less people, have less regulation etc etc.
Chip isnât a bank. Monzo is a bank. Therefore, Monzo have direct access to the base rate whereas Chip can only access it through an intermediary (Clearbank) which wonât be costless.
Monzo can also lend money at higher rates than the base rate and pocket the difference as Net Interest Margin. Chip cannot lend at all.
Monzo has greater economies of scale than Chip.
At the very least, they could both offer 4%. Itâs a choice - Monzo are choosing not to probs because they donât have to and partly as they probs donât want an overly large desposit book without a correspondingly large lending book too.
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Not bothered if Chip is a bank or not. I want a decent interest rate & will look around the market and move if necessary. Monzo will not get my savings until they up their game - and the 1.5% on my business account is very poor.
On another note I wonder if Zopa & Chase might move again.
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I know. I was countering Sachazâs post. Thereâs no real excuse for Monzo or Chase not to be at 4% now. One claims to be a disruptor making your money work for you and the other rewarding banking. Weâll live up to the claim and offer 4% when the base rate is 5%.
Banks pass on the rates to borrowers quickly and they should do the same for savers.
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Youâve given a good reason, which is they canât lend the money out quick enough to make it work.
Monzo might have better economies of scale, but Chip even going via Clearbank has lower overall costs, be it staff costs or even done to managing 250,000 accounts v 7m, they also have lower regulatory costs.
Itâs a business decision that theyâve gone for 3.7%, and theyâll probably keep 99% of the deposit theyâve got, and will probably attract a few on the way in as the numbers switching accounts will bring deposits. Harder issue for Monzo is how they can lend it out, in a world where money is tight.
As for Chase, they will also you pay you 1% on transactions and want to push those bigger investors towards Nutmeg.
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Chip need every penny they can get tbh. They are crowdfunding dependent and need to show a VC theyâre worth their salt or theyâll be out of business by end of this year. Theyâll do a raise at a big down round based on the traction theyâve gained on the back of their Instant Access Account which is driving record deposits for them - fair play, theyâve pulled the rabbit out of the hat but I just canât see how they can be used as an example of low costs. Their burn rate v revenues is abysmal per latest accounts.
Anyhow, donât want to digress. I respect your point of view. 3.8 ish percent from both Monzo and Chase is okay, but Iâd expect better. Just my 2 cents.
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Does anybody bank with Barclays at the moment? They have a 5.1% instant access savers pot right now. You do have to be part of their blue rewards which costs ÂŁ5 a month but if you have two direct debits going out they give you ÂŁ5 so it breaks even, then you get the better interest rate!
Hassle to setup if you arenât already doing it but great for any Barclays customers!
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I have had that account for the last 9 months. Easy money.