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Octopus Cash
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Coronavirus and Octopus Cash

4:10pm 12 May 2020 - Written by Caroline Flagg, Head of Octopus Cash
What is Octopus Cash?

Update posted on 12 May 2020:

We’ve reviewed our most recent update on Cash which continues to provide relevant and up to date information. Since this update was written on the 17 March 2020, we’ve had lots of queries from advisers about submitting applications and maturity notices so we wanted to address these.

How we are accepting applications and maturity decisions

Octopus Cash has always accepted applications and decisions about the maturity of cash accounts online via the hub, by email to support@octopuscash.com, and by post. We continue to accept both by all of these methods, however, if you’d like to post either, please address it to: Octopus Investments Limited, PO Box 10847, Chelmsford, CM99 2BU. Please note, when sending us funds, it’s much quicker for us to set you up with a bank transfer rather than a cheque, although we do still accept both.

Original update posted on 17 March 2020:

The below is an update on how coronavirus is affecting Octopus Cash. The main point to take away is that Octopus Cash is very much open for business. If you want to get in touch with us, the best way to do so is by emailing support@octopuscash.com.

What is Octopus Cash?

As a reminder, Octopus Cash is our cash savings service that aims to get savers a better interest rate than those offered by major high street banks. We offer a variety of different accounts, ranging from our 35-day-notice account to our two-year fixed-term account.

For those saving over £85,000, we spread the deposits across multiple partner banks, which helps provide additional coverage under the Financial Services Compensations Scheme (FSCS) compared to keeping the money with just one bank.

Impact of coronavirus on interest rates

Impact of coronavirus on interest rates

In response to the coronavirus outbreak, the Bank of England has cut its base rate to a record low of 0.1%.

The good news is that Octopus Cash continues to offer competitive rates of interest. Some customers will be affected by some of our partner banks making changes to their rates, but it’s notable that not all these changes have been in a downwards direction.

You can see the latest interest rates by using our client illustrator.

Paper applications are likely to be delayed

Paper applications are likely to be delayed

We are now asking that all paper applications and other post be sent to the following address:

Octopus Investments Limited, PO Box 10847, Chelmsford, CM99 2BU

Any post sent to our head office will be re-directed, but this may mean a delay in processing applications.

As always, the quickest way is to apply online, which you can do here.

Similarly, a bank transfer or other electronic payment will be quicker than sending us a cheque.

Impact on term deposit accounts

Impact on term deposit accounts

The Bank of England has suggested that banks consider allowing some relief for those who wish to withdraw early from term deposit accounts. We’re working with each of our partner banks to establish what this will look like.

Any requests to withdraw early will ultimately be assessed by the partner bank with which the funds are deposited and will be assessed on a case-by-case basis by that bank. Savers may be required to provide ‘evidence requirements’ to show financial hardship.

We’re here to help

We’re here to help

If you have a query and you want to get in touch with us, the best way to do so is to email support@octopuscash.com.

Important information

Important information

  • Money saved via Octopus Cash will be deposited at UK PRA regulated credit institutions that are covered by the Financial Services Compensation Scheme (FSCS). However, we’ll need you to confirm that you don’t already hold savings with these banks. This is so that you don’t hold more than £85,000 with any one bank, which is the total covered by the FSCS.
  • You should be aware that if you save with one of our fixed term products, you won’t be able to access your money before the end of the term.
  • Interest is calculated daily and, in the case of our fixed term products, will be paid at the end of the term. When saving through our 35-day notice account, interest will be paid into your Octopus Cash account each month.