Chelsea cuts interest rates across savings accounts

New online savings account from Chelsea BS

Chelsea Building Society has launched its first online savings account.
Which? reveals low interest rates for child savings accounts

Consumer group Which? has published a report that illustrates how low interest rates for child savings accounts discourages parents from saving on behalf of their children.

Thursday, 29 January 2009 02:14

Chelsea Building Society has announced interest rate reductions across a wide number of its savings accounts.

The Chelsea extra and monthly accounts have both been cut by 0.5 per cent and will now have a 2.5 per cent gross AER and 4.5 per cent gross AER, respectively.

Other customers to face cuts will be those with a regular savings account, decreased by 0.5 per cent to an interest rate of 2.05 per cent gross AER.

The tracker bond product with a minimum deposit of £2,000 will now have a rate of 3.10 per cent gross AER, a drop of 0.5 per cent.

The new rate changes will apply to currently promoted accounts with effect from January 30th 2009.

Reductions have also been placed on the interest rates for the senior savers account and prestige regular savings accounts, among others.