Could you earn money by saving with this digital bank?
B is part of a new movement of digital-only banking services. These days there’s no need to take a trip to the high street, simply open a bank account with your smartphone.
These banks rarely offer savings accounts, so B’s savings option is a welcome exception. Is it any good, though?
For more on B and whether its savings account is for you, read on.
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What is B?
Unlike many recent digital banking services, B is powered by traditional banks – Clydesdale Bank and Yorkshire Bank. However, it is a purely digital service. There are no physical branches and no trips to the high street. Everything, from registering and applying, to running your account, is done through its app.
As long as you have a tablet or a mobile, you can apply to get a current and instant savings account with B.
What are your options for saving with B?
There’s only one option for saving – B’s instant savings account, and it doesn’t offer the biggest return on your money.
To open the instant savings account you have to first open a current account with B – which also gives you a small rate of interest on your money.
This lets you quickly move money between your spending and your savings pots – so if you’re in a tough spot at the end of the month, it’s easy to dip into your savings.
Moving money is quick and easy through its app.
What’s the app like?
Here’s what the app allows you to do:
- Transfer funds. Move funds between your savings and current accounts quickly.
- Automatic transfers. “Sweeps” features will move money from your savings into your current account if you’re running low. It notifies you with a text. You can opt out of having this feature.
- Categories. Like several of its digital rivals, the B app automatically tags your debit card transactions into categories like food, travel, eating out.
- Set budgets. Set a monthly overall budget or for specific categories. The app shows you how much you have left to spend.
- Overdraft. Call customer service to set up a planned overdraft. B gives all customers two days’ grace period if they go overdrawn unexpectedly, too. It charges £6 a day after that.
- Spending insights and alerts. It sends you alerts to rein in your spending. It also gives you insights into how you’re spending and how you could make your money go further.
- Set a savings goal. Saving for something in particular? Track your progress with its savings goal feature.
- Current accounts feature. View your balances with other banks and building societies in the app.
If you’re happy to earn just a small amount of interest and keep your money within spending distance, then B could be for you.
However, if looking to put your money away for a year or two, there are far better options out there.