Recognise Bank - any experiences?
Discussion
Found them online and set up a business savings account. 4.3% interest on 95 day notice account.
Application process was smooth, but I'm a little bit worried about the company generally. They seem very new and don't have normal things I'd expect from a bank (such as an API to quickbooks). Also paying money into an account, you seem to pay one single bank account and put your 'account number' as a reference...basically as if you don't have your own account and they co-mingle funds.
It is FSCS scheme registered, so risk is reduced, but I don't think you can get your money back quickly from the Govt if the bank goes pop.
Am I worried about nothing or should I steer clear? If anyone has used them for a while, I'd welcome your feedback. Thanks
Application process was smooth, but I'm a little bit worried about the company generally. They seem very new and don't have normal things I'd expect from a bank (such as an API to quickbooks). Also paying money into an account, you seem to pay one single bank account and put your 'account number' as a reference...basically as if you don't have your own account and they co-mingle funds.
It is FSCS scheme registered, so risk is reduced, but I don't think you can get your money back quickly from the Govt if the bank goes pop.
Am I worried about nothing or should I steer clear? If anyone has used them for a while, I'd welcome your feedback. Thanks
porterpainter said:
It is FSCS scheme registered, so risk is reduced, but I don't think you can get your money back quickly from the Govt if the bank goes pop.
Absolutely correct. Two things to bear in mind,1. It takes a long time to get your money back, and
2. You only get your deposit back, not the interest you were hoping for.
Once bitten, twice shy. I only use the big, established names these days.
Panamax said:
Absolutely correct. Two things to bear in mind,
1. It takes a long time to get your money back, and
2. You only get your deposit back, not the interest you were hoping for.
Once bitten, twice shy. I only use the big, established names these days.
I had not heard of them so quick search. 1. It takes a long time to get your money back, and
2. You only get your deposit back, not the interest you were hoping for.
Once bitten, twice shy. I only use the big, established names these days.
They appear to be covered by exactly the same compensation agreement as other Banks up to £85k single investor.
As such money returned to you within 7 days supposedly.
alscar said:
money returned to you within 7 days supposedly.
Glad to find you in optimistic mood today!When the Icelandic banks collapsed I did get my initial deposit back but,
It took many months, and
I received no interest whatsoever.
IMO it's simply not worth the risk. Rates from some of these "new" banks aren't significantly better than can be obtained from longer established names.
porterpainter said:
Found them online and set up a business savings account. 4.3% interest on 95 day notice account.
Application process was smooth, but I'm a little bit worried about the company generally. They seem very new and don't have normal things I'd expect from a bank (such as an API to quickbooks). Also paying money into an account, you seem to pay one single bank account and put your 'account number' as a reference...basically as if you don't have your own account and they co-mingle funds.
It is FSCS scheme registered, so risk is reduced, but I don't think you can get your money back quickly from the Govt if the bank goes pop.
Am I worried about nothing or should I steer clear? If anyone has used them for a while, I'd welcome your feedback. Thanks
What's a 'business savings account' ?Application process was smooth, but I'm a little bit worried about the company generally. They seem very new and don't have normal things I'd expect from a bank (such as an API to quickbooks). Also paying money into an account, you seem to pay one single bank account and put your 'account number' as a reference...basically as if you don't have your own account and they co-mingle funds.
It is FSCS scheme registered, so risk is reduced, but I don't think you can get your money back quickly from the Govt if the bank goes pop.
Am I worried about nothing or should I steer clear? If anyone has used them for a while, I'd welcome your feedback. Thanks
Panamax said:
Glad to find you in optimistic mood today!
When the Icelandic banks collapsed I did get my initial deposit back but,
It took many months, and
I received no interest whatsoever.
IMO it's simply not worth the risk. Rates from some of these "new" banks aren't significantly better than can be obtained from longer established names.
When the Icelandic banks collapsed I did get my initial deposit back but,
It took many months, and
I received no interest whatsoever.
IMO it's simply not worth the risk. Rates from some of these "new" banks aren't significantly better than can be obtained from longer established names.
Very fair point.
Panamax said:
Glad to find you in optimistic mood today!
When the Icelandic banks collapsed I did get my initial deposit back but,
It took many months, and
I received no interest whatsoever.
IMO it's simply not worth the risk. Rates from some of these "new" banks aren't significantly better than can be obtained from longer established names.
The Icelandic banks weren’t UK registered FCGS protected though…When the Icelandic banks collapsed I did get my initial deposit back but,
It took many months, and
I received no interest whatsoever.
IMO it's simply not worth the risk. Rates from some of these "new" banks aren't significantly better than can be obtained from longer established names.
I have used Recognise for the same 95 day business savings, it’s basic but I have absolutely nothing bad to say - I opened the account online and had deposited funds within about an hour. Everyone else offering similar rates at the time had archaic forms based application processes.
In a worst case, a delay isn't exactly a problem, hence the money being on 95 days notice in the first place.
Edited by theboss on Tuesday 30th January 17:10
Panamax said:
Glad to find you in optimistic mood today!
When the Icelandic banks collapsed I did get my initial deposit back but,
It took many months, and
I received no interest whatsoever.
IMO it's simply not worth the risk. Rates from some of these "new" banks aren't significantly better than can be obtained from longer established names.
The Icelandic banks didn't operate under UK FSCS did they?When the Icelandic banks collapsed I did get my initial deposit back but,
It took many months, and
I received no interest whatsoever.
IMO it's simply not worth the risk. Rates from some of these "new" banks aren't significantly better than can be obtained from longer established names.
I've got a couple of fixed-terms savings accounts with Recognise.
Everything has gone smoothly so far (although I too found the paying-in method a bit odd). Also, I made sure to go with the monthly interest options to ensure monies owed to me were actually credited rather than just accrued. The AERs weren't any different to the annual interest options, incidentally.
Everything has gone smoothly so far (although I too found the paying-in method a bit odd). Also, I made sure to go with the monthly interest options to ensure monies owed to me were actually credited rather than just accrued. The AERs weren't any different to the annual interest options, incidentally.
"FSCS reflects on the 10 year anniversary of the failure of five banks including Bradford & Bingley and Icesave."
In Autumn 2008, in the midst of the financial crisis, five financial institutions collapsed affecting over 4.08 million retail bank accounts in the UK. The most prominent were Bradford & Bingley, which failed on 27 September 2008, and Icesave, which failed on 8 October 2008.
Commenting on the tenth anniversary of the collapse of Bradford & Bingley and Icesave, Mark Neale, FSCS Chief Executive, said: “At FSCS we had first-hand experience of the impact of these failures on customers.
“Our role in protecting members of the public came to the fore over the autumn ten years ago, as FSCS made payments totalling nearly £20 billion to protect consumers. Icesave was perhaps the most prominent failure that FSCS has paid compensation direct to consumers for since our creation in 2001."
In Autumn 2008, in the midst of the financial crisis, five financial institutions collapsed affecting over 4.08 million retail bank accounts in the UK. The most prominent were Bradford & Bingley, which failed on 27 September 2008, and Icesave, which failed on 8 October 2008.
Commenting on the tenth anniversary of the collapse of Bradford & Bingley and Icesave, Mark Neale, FSCS Chief Executive, said: “At FSCS we had first-hand experience of the impact of these failures on customers.
“Our role in protecting members of the public came to the fore over the autumn ten years ago, as FSCS made payments totalling nearly £20 billion to protect consumers. Icesave was perhaps the most prominent failure that FSCS has paid compensation direct to consumers for since our creation in 2001."
Panamax said:
egomeister said:
The Icelandic banks didn't operate under UK FSCS did they?
Yes, they most definitely did.The first part of the deposit was covered under the icelandic scheme and the balance under UK FSCS, which lead to a dispute about the payment of the icelandic portion.
https://www.theguardian.com/money/2008/oct/07/savi...
https://en.wikipedia.org/wiki/Icesave_dispute
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