Interest up at Cahoot

22 June 2004
Cahoot has announced that it is upping the interest it pays savers by a quarter of a per cent.

The move follows a similar increase in the Bank of England's base rate on June 10th.

The internet bank now offers savers 4.85 per cent, and gives people with a Cahoot current account a return of 4.10 per cent on their balances.

However, those in debt are worse off, after the bank said that it will increase the interest it charges on its credit card by 0.3 per cent to 9.8 per cent.

The overdraft rate has increased by a similar amount - also to stand at 9.8 per cent; but this only applies to people who go beyond the free £250 limit.

Cahoot's flexible loan remains unchanged at 5.8 per cent.

The changes will come into force on July 8th.