Marcus Bank

[Simpo Two]

- says 'We’ve temporarily stopped accepting applications for our Online Savings Account'.

Any ideas why that would be? Existing account holders can still use it.

[ReallyReallyGood]

They aren’t allowed to hold too many deposits else they’re subject to greater controls like a high street bank I believe.

[dannnd]

It's as their deposits were reaching the 25bn mark at which point the Bank of England would require them to 'ringfence' funds and they would have to administer it separately from their IB - meaning higher admin costs (and mean they can't use it to play the markets)..

https://www.theguardian.com/business/2020/jun/10/g...

[Simpo Two]

Ah right, thanks. So not in dire straits then!

[cloud_dog]

Simpo Two said:

Ah right, thanks. So not in dire straits then!

No.

Ford Money is in the same boat and haven't offered their easy access account for a long while. They are also reducing their easy access account rate to 0.5% on 8 February, I believe.

[Mr-B]

For info, back in the game, taking new customers again.

[Crafty_]

What is the rate now ? 0.5% or something ? I suspect they've seen an exodus of money from the 1.5% days.

[ReallyReallyGood]

Exodus to where?!

[duckson]

ReallyReallyGood said:

Exodus to where?!

Moved most out to Premium bonds personally.

[Rob_125]

duckson said:

ReallyReallyGood said:

Exodus to where?!

Moved most out to Premium bonds personally.

That's exactly what I've done.

[pb8g09]

Rob_125 said:

That's exactly what I've done.

Because they're so lucrative right now!

[Crafty_]

Yep I went for PBs too.

I suspect some pulled funds and moved with them.

I looked at bonds/fixed term too.

[chucklebutty]

PBs from August 2020 - currently performing c.1% (tax free so feels like 1.5%)

Popped some into my first S&S ISA this week, I am £7.82 down after day 1...now I know why I don't take risks

;-)

[Crafty_]

My ISA is full until April, I'm thinking I will pull the PB money in to there and maybe set up a monthly buy of PBs, problem with that is the odds of winning with a low balance is very low, so could end up with nowt.

[Rob_125]

pb8g09 said:

Rob_125 said:

That's exactly what I've done.

Because they're so lucrative right now!

As mentioned PB is ~1% minimum and tax free, so that doubles my return with the chance of winning a bigger prize...but am drip feeding a small amount into a s&s isa.