Six big banking changes coming in WEEKS including fee hike and interest rates being axed
Share:
SIX major banks are making some big changes in the coming weeks including fee hikes. Another instance includes an online banking platform axing a key money making feature. Elsewhere, several banks also reducing their interest rates on savings accounts. The changes affect a mixture of savings, investment and current accounts and thousands of customers - so it's good to be aware of what's coming up.
![[British one-pound coins on banknotes.]](https://www.thesun.co.uk/wp-content/uploads/2024/06/326-start-paid-low-income-740387330_d28b8e.jpg?strip=all&w=960)
Investment platform Vanguard has introduced a minimum monthly fee of £4. Not every Vanguard investor will see their fees go up, but customers with less than £32,000 in investments will. The changes will come into effect on January 31, 2025 and apply to all accounts, except the junior Isa and managed Isa.
How much you'll pay will depend on how much you have in your account, and the increase will be biggest for those with the least money invested. If you have more than £32,000, you'll already meet the £4 monthly minimum anyway, so you won't need to pay any more.
But, an customer with £1,000 in their account, for example, will see a huge hike in what they need to pay in fees each year, up from £1.50 to £48. The nation's biggest building society is slashing the interest rates on almost 90 savings accounts from February 1.
Whether you're affected or not will depend on the type of savings account you have. For instance, with fixed term accounts, the interest rate you get on your savings is locked in for a set period of time so they're not affected. With others - often easy access accounts - the rate can change anytime.
