Revolut, the financial services superapp with over 13 million customers worldwide, has today announced its latest product for the UK market with the launch of its easy-access USD Savings Vaults, in partnership with Investec, offering interest rates of 0.65% AER for Revolut Metal subscribers, 0.50% AER for Premium customers and 0.40% AER for Plus customers on USD funds.
As well as offering a top-tier interest rate, Revolut’s Savings Vaults offer customers flexibility and choice, unlike many savings products currently available in the market. With no minimum deposit amount, customers can start earning daily interest and choose to withdraw their money at any time.
Customers can round-up their card payments and instantly save their spare change, or deposit money into their Savings Vaults via regular or one-off transfers. USD Savings Vaults are protected by the Financial Services Compensation Scheme (FSCS) up to the value of £85,000 (in USD equivalent) through Investec, Revolut’s partner bank.
UK customers can also choose to save in GBP, with Metal and Premium subscribers earning 0.40% AER and Plus subscribers earning 0.20% AER. Savings Vaults deposits are limited to GBP £85,000 (or currency equivalent) per bank.
Nik Storonsky, Founder and CEO at Revolut, said:
“Many of our customers choose to hold a number of different currencies in their Revolut accounts, and now we’re able to help their money grow with daily interest while they’re holding GBP or USD. It’s just another way that we’re helping our customers get more from their money.
“The decline in interest rates over recent years has directly impacted the options that people have when it comes to saving. We’re delighted that we can now offer our UK customers one of the most competitive rates in the country, with complete flexibility and protection. As we start 2021, we’re looking forward to helping our customers save and manage their money more effectively.”
Marsel Nikaj, Head of Savings at Revolut, said:
“We built Revolut Vaults to help our customers reach their financial goals faster by effortlessly putting money aside, and the response has been great so far. Since we launched the Vaults feature in April 2018, over 4.5 million Personal, Group and Savings Vaults have been created globally, with an average of 6,000 new Vaults added each day. Since launch, the Revolut global community has put aside over £2.5 billion in their Vaults.”
David Hunt, Head of Funding Partnerships for Investec, commented:
“By empowering and encouraging its customers to take greater control over their savings, Revolut is further strengthening its position as a leading financial services platform for the retail market. With attractive rates of interest and easy access to funds, Investec is excited to provide products for use within Revolut’s Savings Vaults.
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“By partnering with Revolut, we will widen our distribution within the UK digital savings market at a time when savers are progressively looking for easy to manage digital solutions. We’re delighted to be working closely with Revolut as we support digital platforms in the financial services sector with market-leading savings accounts.”
In addition to Personal Vaults that allow customers to hold over 30 currencies, users can invite friends or family to Group Vaults and save for goals together. Group Vault owners can now also give withdrawal permissions to other members, giving owners control over who can take money out.
Finally, Savings Vaults offer an easy-access savings account where customers can earn interest and their funds are eligible for FSCS deposit protection. This is different to how customers’ normal Revolut accounts are protected (those accounts are e-money accounts and are not covered by the FSCS but are “safeguarded”). The total value of deposits that the FSCS scheme covers and customers’ eligibility for coverage may change from time to time. Read more about FSCS protection on the FSCS website.
Savings Vaults are currently available in the UK and US, and Revolut plans to roll out the product to other European markets in the future.