Ultimate guide to savings platforms

Sick of constantly having to shop around for a decent return on your cash? A savings platform could be the answer, bringing together a host of different deals to choose from in just one place.

Getting a decent return on your savings can be time-consuming – especially so now that most of the high-street banks are slashing their rates in response to the Bank of England’s rate cut.

You need to keep track of when different accounts you have are set to mature, and then go through the rigmarole of applying for a new account when it’s time to move that money, with yet another set of login details to commit to remember.

Making things easier

Savings platforms are designed to make that process less arduous.

The idea is that by registering with one of these platforms, you gain access to a panel of different savings deals.

When your offer is coming to an end, you’ll be told that it’s time to start thinking about what to do with your money once the deal matures.

From here, you’ll be able to select your next savings deal and move your cash into it.

Cutting applications processes

With a savings platform, there’s no need to go through lengthy application forms or memorise more login details and account numbers.

Everything is centralised, making moving your money to a new account ‒ and therefore continuing to earn a decent rate of interest ‒ much easier.

In exchange, some will charge you an annual fee based on the size of your portfolio.

There are currently a range of savings platforms on the market, and they all offer slightly different services.

The range of savings to choose from can vary from just a handful to a few dozen, while the minimum amount you will need to open the account and any annual fees can also differ hugely.

• Not sure what kind of savings account you need? We run through all your saving options

Another important factor to remember is that the price you pay for the convenience offered by a savings platform is inevitably a reduction in choice.

These platforms are essentially savings supermarkets, merging a range of deals, but there will always be providers and accounts that aren’t available.

As a result, there’s a chance you could get a better rate by going directly to a specific bank, but generally speaking, you’ll get access to some of the best rates out there with a savings platform.

So now let’s take a closer look at some of the platforms currently on the market and how they work.

With headquarters in London, Moneda Capital is an investment firm that also has offices in the Republic of Ireland and USA.

At present, Moneda has more than 45 partners.

The top rate on a one-year fix is an impressive 5.15%, a two-year fix is 4.76% and a three-year deal is 4.7%.

If you’d like to fix for longer, rates on a four-year term are 4.69% and a five-year deal is 4.45%. You can learn more about its top savings account here.

Note, the specific terms of your deal will depend on your personal circumstances and may differ for joint accounts.

All UK-based banks and building societies are members of the Financial Service Compensation Scheme.

As one of the key traits, the platform offers a “guided application” process via its specialists.

You’ll then arrange your funds before opening your account.

If you'd like to see the terms you'll receive, there is a personalised interest rate calculator on the firm's website.

To use the calculator, you'll need to enter the currency you'd like to save in, your deposit amount and the maximum term you'd like to save for.

• Visit Moneda Capital savings site

Hargreaves Lansdown is one of the biggest names around when it comes to investment platforms, but if you don’t fancy the additional risk ‒ and potential reward ‒ from investing, then its Active Savings platform is worth a look.

Current offers include pensions, savings accounts, junior accounts and Cash ISAs. Its partners are currently Aldermore, Investec and Metro Bank.

At present, the platform pays up to 4.61% on easy access accounts and offers 4.83% on a six-month fixed-rate bond.

You can open an Active Savings account with just £1, while there’s no charge to you as a saver. Instead, Hargreaves Lansdown makes its money by charging providers a fee to be on the panel.

Once you’ve opened an Active Savings account, you need to put money into your ‘cash hub’, which is operated by Barclays.

You’ll have three working days to select which savings account you want to move that money into, otherwise it will be returned to you.

Once your term deals come to an end, the money is then paid into the cash hub for you to then select a new savings deal.

You can only open an Active Savings account for yourself as an individual, and you need to be over 18 and a UK resident.

• Visit the Hargreaves Lansdown Active Savings site

Flagstone has a significant number of bank and building society partners on its platform, with products from more than 60 UK banks available for users to choose from.

These include the likes of Smart Safe, Oak North and The Bank of London.

Rates include 4.87% AER gross on instant access savings from and 4.88% on 95-day notice accounts.

All of the firms are regulated by the FCA and members of some form of protection scheme, such as the FSCS or European equivalent.

Savers have the option of easy access, notice accounts and fixed-term accounts, so there’s plenty of options.

Flagstone charges a flat annual management fee of up to 0.25% per annum on the total value of your account.

When you open an account with Flagstone, you’ll initially need to put the money into a ‘hub’ account.

This is operated by Barclays.

From here you can then determine which savings accounts you want to move your money into.

Once your savings term ends, your money will be returned to this hub to be allocated to a new savings deal, or withdrawn.

You can open a Flagstone account yourself, or jointly with your partner, while it is also an option for companies, charities and trusts (including SIPPs if you fancy using it for your pension).

You can open an account so long as you are a UK resident (whether you are domiciled in the UK not), if you are an expat or if you are a US citizen.

Be warned though, this is not going to be an option for everyone.

If you try to start an account with Flagstone yourself, you’ll need to have a maximum deposit of  £250,000.

• Visit Flagstone  

With Insignis, you get a designated account manager who will oversee your money and where it’s being placed.

Savers can choose from a range of products from more than 45 banks.

At present, key rates include 4.76% for easy-access accounts and 4.83% on six-month fixed-term accounts.

There are currently 45 savings providers open to users, including Nationwide Building Society, Redwood Bank and Hampshire Trust Bank.

As with other savings platform providers, you initially put your money into a hub account, which is once again run by Barclays.

The Insignis platform is open to individuals, companies, charities, local authorities and trusts, while it has also partnered with financial advisers.

To be eligible as an individual you simply need to be a UK resident and a non-US taxpayer.

You’ll need to deposit an initial £50,000, with a fee charged based on the size of your balance.

With Octopus Money, you’ll receive one-to-one advice and a personalised financial plan.

According to the firm’s website, its objective is to help people “grow and protect” their wealth.

The goal is to work with clients who are already investing more than £200,000 – either a couple or an individual.

These assets can include old workplace pensions.

As a certified B-Corp company (with a focus on social and environmental performance), its focus is on sustainable investment strategies.

If you’d like to use the service, the first step is to book a ‘starter session’, which will last approximately 20 minutes.

Head over to Octopus Money to learn more