Hargreaves Lansdown Bank [FREE]

HL pays interest on uninvested cash held within ISAs and SIPPs. While historically low, the post-2022 interest rate environment has made this feature extremely valuable. HL negotiates rates with a panel of banks (including Santander and NatWest) and passes a portion of the yield to clients. This mimics a bank’s deposit-taking function but without lending the money out; instead, HL places it in institutional money markets.

Instead, they act as a .

For standard cash savings accounts:

Hargreaves Lansdown has consistently delivered strong financial performance, driven by its growing client base and increasing assets under administration. In its latest annual report, the company reported: hargreaves lansdown bank

| | Cons | | :--- | :--- | | Convenience: Manage savings with multiple banks through one portal and one login. | No Instant Access: Unlike a high street current account, you cannot spend directly from the account; you must transfer funds out first. | | Competitive Rates: HL often negotiates exclusive rates with partner banks. | No Physical Branches: Everything must be done online or via the app. | | Safety: Clear separation of client money and FSCS protection. | Withdrawal Times: Transfers back to your bank account are not always instant (can take a few days). | | Diversification: Easy to split large sums across different institutions to maximize FSCS coverage. | Rate Changes: Easy access rates are variable and can drop quickly. | HL pays interest on uninvested cash held within