JN Bank, DF Capital Bank and Zopa Bank enter the savings market
November 2020
Despite the many challenges facing the UK at the moment, the New Bank Start Up Unit continues to successfully support the launch of new entities into the savings market, providing opportunities for savers during a period of record low interest rates. This quarter, we have welcomed JN Bank, Distribution Finance Capital Bank (DF Capital Bank) and Zopa Bank into the savings market with each offering deposit products over the course of the last three months. We provide an introduction to each herein and will keep you abreast of the best they have to offer over the coming months and years.
JN Bank
JN Bank launched their first savings products into the UK savings market in October 2020. The team, led by Ian Marshall OBE FCA as Chairman, were successfully awarded their banking licence in December 2019 with a mission to helping customers “find a way” through financial services that work for them.
The bank provides loans at present for Home Improvement, Cars and for Debt Consolidation. Part of the JN Bank Group, the experienced executive team are offering the following savings products to UK savers:
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JN Bank Easy Access Savings Account Minimum: £1.00 Maximum: £85,000.00
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0.55% for deposits above £1,000 0.10% for deposits below £1,000 |
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JN Bank Fixed Term Savings Account Minimum: £1,000.00 (£100.00 for 1 year) Maximum: £250,000.00 |
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- 1 year - 2 year - 3 year - 4 year - 5 year |
0.80% Gross/AER 1.00% Gross/AER 1.20% Gross/AER 1.25% Gross/AER 1.30% Gross/AER |
Applications are open for personal clients over the age of 18 using an online application form. Deposits are protected up to £85,000.00 per individual under the Financial Services Compensation Scheme.
DF Capital Bank
DF Capital are a specialist savings and commercial lending bank authorised in September 2020. Having operated since 2016 as a niche commercial lender, the DF Capital team acquired their banking licence to help small and medium-sized businesses gain access to flexible finance products that support the growth of their businesses. Led by Carl D’Ammassa, the DF Capital team say that they are proud of the strong long-term relationships and reputation built delivering loans to their commercial customers and intend to deliver the same high level of service to their personal savings customers.
The bank presently provides working capital solutions up and down supply chains to allow businesses to match their cash cycle to the lending term. The bank launched its first savings products this quarter, including a 90 day notice that was immediately filled. They presently offer the following fixed term products:
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15 Month Fixed Rate Deposit (Issue 1) Minimum: £1,000.00 Maximum: £85,000.00
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1.10% Gross/AER |
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18 Month Fixed Rate Deposit (Issue 1) Minimum: £1,000.00 Maximum: £85,000.00 |
1.10% Gross/AER |
These accounts are available to Personal savers aged 18 and over, resident in the UK and liable for tax only in the UK too. Accounts can be opened online with a 14 day funding window. Deposits are protected up to £85,000.00 per individual on the DF Capital Bank Limited banking licence.
Zopa Bank
Zopa began their journey in 2005, launching as the first ever peer-to-peer lending company providing access for people to simpler, better-value loans and investments. In 2020, Zopa launched Zopa Bank on a mission to make money Feel Good, with products designed to do Real Good.
In 2014, peer-to-peer lending became a regulated activity and Zopa acquired its regulatory permissions. In December 2018, Zopa became regulated as a bank, and in 2020, the team launched their first savings products into the UK savings market. The bank provides personal loans, credit cards and car finance loans at this time
The following savings products are presently on offer:
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Fixed Term Savings Account Minimum: £1,000.00 Maximum: £250,000.00 per account; £500,000.00 in total
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- 1 year - 2 year - 3 year - 4 year - 5 year |
1.05% AER 1.15% AER 1.20% AER 1.20% AER 1.30% AER |
Applications are welcomed from personal savers and applicants must be aged 18 or over, have tax residency in the UK (excluding the Channel Islands and Isle of Man) and must hold an active UK current account in their name. All payments into the account must be made during a 14-day calendar funding window. Should the balance not exceed the minimum of £1,000.00 by the end of the funding window then the account will be closed and any money you did deposit will be returned to your nominated bank account.