How we manage your cash
Here, you’ll see the current interest rates we pay on cash held in our accounts. Plus, find out how your money is protected and where it’s held.
| Account | Gross rate of annual interest | Annual Equivalent Rate (AER) |
|---|---|---|
| ISA (including Junior ISA) | 3.60% | 3.66% |
| Investment Account | 3.60% | 3.66% |
| Cash Management Account | 3.60% | 3.66% |
| SIPP (including Junior SIPP) | 3.70% | 3.76% |
Please note:
- Interest rates can be changed at any time. The rates above have been applied since 1st January 2024.
- Where HMRC requires, the interest will be paid net of basic rate tax. This would be in the case of interest paid into our Investment Accounts and Cash Management Account. Interest in ISAs and SIPPs are paid gross.
- Our first payment covering July 2022 - June 2023 was made in a one-off annual payment in July 2023. Please see the FAQ section for further information on this.
- Interest is paid to you in the month after it has been earned. For example, interest relating to June will be paid by the end of July.
Charges made simple
At Fidelity, we do not charge a service fee for holding cash. We will retain interest from the bank(s) to enable us to continue to develop our products and services, and to help keep our platform fees low.
How and where we hold cash
We spread any cash you hold across several banks for your security. The banks we work with include:
- Barclays Bank Plc
- HSBC Bank Plc
- Royal Bank of Scotland Plc
- Lloyds Bank Plc
- Bank of America N.A.
- JPMorgan Chase Bank N.A.
Keeping your money in cash
You might want to consider the effect of inflation (rising costs) if you decide to keep your money in cash for a prolonged period. Inflation typically reduces the buying power of your cash in the long term.
If you have a Self-Invested Personal Pension (SIPP), be mindful that the value of your pension pot may be at greater risk of being eroded by inflation if it holds only cash, or mainly cash. If you’re unsure where to invest or have complex needs, speak to an authorised financial adviser.
Your money is protected
There are many levels of protection for your money if something goes wrong. We’re authorised and regulated by the Financial Conduct Authority, and are required to separate client money and assets from our own resources, unlike a bank. As an extra layer of protection, customers are covered by the Financial Service Compensation Scheme (FSCS).
Read more about how we protect your money and the various levels of protection in place for you.
